Which of the following statements are true regarding straight line depreciation?

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Which of the following statements are true regarding straight line depreciation?

A. It is a method that is calculated by subtracting the salvage value of the asset from the purchase prices, and then dividing this number by the estimated useful life of asset.

B. It is determined by subtracting current liabilities from current assets

C. It is the length of time it takes to recoup the initial cost of investing the project. This method compares the initial investment with the cash flows expected during the life of the project.

D. It is the discount rate at which the present value of the future cash flows of an investment equals the cost of initial investment

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