Under the indirect method,depreciation expense would be subtracted from net income when determining the net cash flow from operating activities.

Question

Quizplus · Accepted Answer

Under the indirect method, depreciation expense is added back to net income when determining the net cash flow from operating activities because it is a non-cash expense that reduced net income but did not involve an outflow of cash.

Under the Indirect Method,depreciation Expense Would Be Subtracted from Net