How Is Depreciation Accounted for on the Statement of Cash

question 45

Multiple Choice

How is depreciation accounted for on the Statement of Cash Flows?

• A) Depreciation is irrelevant for cash flow purposes and has no place on the Statement of Cash Flows.
• B) Depreciation expense is included in the operating activities section of the statement.
• C) As depreciation is deducted to determine Net Income there is no need to include it on the statement.
• D) None of the above

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