When calculating free cash flows, which of the following statements is NOT true regarding the depreciation? ● As an accrual, depreciation does not factor into free cash flow calculations. O Depreciation is an accrual, not a cash flow. O Depreciation create a tax shield. O Depreciation is first removed and the subsequently added back in when calculating free cash flows.

Select all that are true with respect to depreciation. Group of answer choices Depreciation is a cash flow outflow at the time it is recorded in the financial statements Depreciation itself is not a cash flow Accounting depreciation impacts cash flow, Tax depreciation does not Accounting depreciation does not impact cash flow, Tax depreciation does impact cash flow The depreciation tax shield is a relevant cash flow for decision making

In the Statement of Cash Flows, depreciation is ignored because it is a non cash expense. Group of answer choices True False

how can depreciation be a cash flow?

Depreciation is needed only for computing income taxes. True or false?

Assuming that there are no income taxes, which of the following is correct concerning depreciation? Select one: a.  Depreciation reduces net income but does not change cash from operations. b. Depreciation provides less cash from operations than would have been available without the depreciation. c. Depreciation builds a cash reserve to fund the replacement of plant, property and equipment d. None of the other choices is correct. e. Depreciation increases cash from operations and decreases net income.

Why is Cash Flow affected by depreciation.

⦁ The reason that depreciation is a source of cash inflow is because A.  it is a tax-deductible non-cash expense.B.  it supplies cash for future asset purchases.C.  it is a tax-deductible cash expense.D.  it is a taxable expense.

Demonstrates the difference between depreciation costs as expenses and the cash flow generated by the purchase of a fixed asset?  Give an example?

Which of the following is not a factor in selecting a depreciation method? a. salvage valueb. repair and maintenance costsc. Inflationd. the risk associated with the cash flows from the asset