If You Start with Incremental Net Operating Profits After Tax

question 62

True/False

If you start with incremental net operating profits after tax (NOPAT) and add depreciation and amortisation to it, then you will obtain incremental cash flow from operations.

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Definitions:

Reciprocal Determinism

A theory in psychology proposed by Albert Bandura that posits an individual's behavior is both influenced by and influences their personal factors and the environment.

External Locus

A belief system where individuals perceive the outcomes of their actions as being controlled by external forces or fate rather than their own efforts.

False Consensus

A cognitive bias where individuals overestimate how much others share their beliefs, values, or behaviors.

Spotlight Effect

The spotlight effect is the belief that others observe us more closely than they actually do, overestimating the extent to which our actions and appearance are noted by others.