Which of the following is true? (a) Tax rates are based on two flat-rateschedules, one for individuals and one forbusinesses. (b) When businesses subtract expenses, they always include capital costs. (c) For businesses, taxable income is total income less depreciation and ordinary-expenses. (d) When quantifying depreciation allowance,one must always divide first cost byMACRS 3-year life.

Fig: 1

Fig: 2

Fig: 3

Fig: 4

Fig: 5