Extract: Present value of tax benefits generated by prior law depreciation and Accelerated Cost Recovery System (ACRS) were compared at selected levels of 1) time of asset purchase, 2) depreciable life for prior law depreciation, 3) asset ownership period and 4) after-tax discount rate. Results from the analysis are mixed, and in some cases, the present value of benefits from prior law depreciation is actually higher than ACRS. In situations in which the tax benefits are increased by the change to ACRS, the increase is relatively small when the prior law depreciable life is relatively short (7 years).