A firms earnings before depreciation and taxesb

A firms earnings before depreciation and taxesb

Question:

A firm's earnings before depreciation and taxes = $550,000, and their tax rate is 40 percent. 
By depreciating $98,500 instead of $40,000 this year, how much will the following terms increase or decrease?
a) Earnings before taxes
b) Earnings after taxes
c) Cash flow

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