Depreciation is added back to profit when arriving at the cash-10860
Depreciation is added back to profit when arriving at the cash flow from operating activities because:
This multiple choice question (MCQ) is related to the book/course
vu fin621 Financial Statement Analysis.
It can also be found in
vu fin621 Final Term - Quiz No.3.
Depreciation is added back to profit when arriving at the cash flow from operating activities because:
Depreciation is only an estimated amount
Depreciation does not affect profit
Depreciation does not result in a flow of cash
Depreciation only affects the balance sheet, not the profit and loss account
