Phyllis believes that the firm should use straight-line depreciation for a capital project because it results in higher net income during the early...

14. Phyllis believes that the firm should use straight-line depreciation for a capital projectbecause it results in higher net income during the early years of the project’s life. Joannabelieves that the firm should use the modified accelerated cost recovery system depreciationbecause it reduces the tax liability during the early years of the project’s life. Assuming youhave a choice between depreciation methods, whose advice should you follow? Why?