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ContentAccountingToolsTerms Similar to Financial LeverageRisks of Financial LeverageThe Struggles of Private Company AccountingExample of leverage in investingCompany Competitive businesses require more equity and less financial leverage than monopoly businesses. With debt financing, the interest payments are tax-deductible, regardless of whether the interest charges are from a loan or a line of credit. When business owners…

ContentThe Failure of Expensing and Other Depreciation Tax BreaksAdvantages & Disadvantages of Straight-Line DepreciationProperty can be placed in service any time during yearThe double declining method of depreciationAct before 2014 to claim bonus depreciation or enhanced expensingWhat is a Characteristic of a Fixed Asset? You can either depreciate or expense these costs when you prepare…