1. Benefits of Accelerated Depreciation
March 21, 2005

2. Marietta Computer Rentals
Depreciation Overview
Comparison of Methods
Benefits of Accelerated Depreciation
Cost & Timeline
Conclusion

3. Depreciation Overview
Current Method
Straight-Line
Definition
Proposed Method
Accelerated

4. Comparison of Methods Straight-Line Accelerated $625/year Background:
Cost $3000
Salvage Value $500
Useful Life 4 years

5. Comparison of Methods
Differences

6. Benefits of Accelerated Depreciation
Anticipates early benefit
Considers potential for obsolescence, or future inadequacy
Allows for inflation
Accelerates and increases tax deductions

7. Benefits of Accelerated Depreciation
Offsets future repairs and maintenance

8. Cost & Timeline
Cost—Minimal, Reward—Great
Timeline—Short

9. Conclusion Change to Accelerated Depreciation Benefits Minimal Costs
Short Time to Change
Next Step

10. Questions