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Which capitalizing costs may result in higher earnings

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Reference no: EM132636862

Problem 1: For a growing firm, capitalizing costs may result in higher earnings over an extended period because:

A. The cost depreciated each period is less than the amount capitalized each period.

B. The cost depreciated each period is more than the amount capitalized each period.

C. Capitalizing costs does not affect earnings over an extended period.

Reference no: EM132636862

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