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Note That We Added Depreciation Back to Operating Cash Flow

question 51

Essay

Note that we added depreciation back to operating cash flow and to additions to fixed assets. Why add it back twice?
Isn't this double-counting?


Definitions:

Self-Efficacy

A person's confidence in their ability to carry out actions required to achieve particular outcomes.

Self-Efficacy Theory

The belief in one's own ability to succeed in specific situations or accomplish a task, playing a crucial role in determining how goals are set and achieved.

Confidence

A feeling of self-assurance arising from an appreciation of one's own abilities or qualities.

Competence

The ability of an individual or organization to perform a task effectively, with the required skills and knowledge.

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