If depreciation expense is not a cash flow, why do we have to subtract it and add

Question:

If depreciation expense is not a cash flow, why do we have to subtract it and add it back? Why not just ignore it?
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Fundamentals of Corporate Finance

ISBN: 978-0133400694

1st canadian edition

Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford, David A. Stangeland, Andras Marosi

Question Posted: