Why Is Depreciation and Amortisation Added Back When Calculating Free

question 11

Essay

Why is depreciation and amortisation added back when calculating free cash flows generated by a project?

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Definitions:

Meaningful Work

Employment perceived as having significance or purpose, contributing positively to the individual or society.

High Responsibility

Positions or roles within an organization that entail significant accountability and decision-making authority.

Ergonomics

The study or practice of designing products, systems, or processes to optimize them for human use.

Aging Workforce

The aging workforce is a demographic trend characterized by an increasing average age of the working population, presenting challenges in retirement planning and workforce management.