Christy Company operates in the entertainment industry. In June 2013, Christy purchased Matts Movies which produces and distributes various video products. The purchase resulted in $2.7 million in goodwill. Since then, Christy has undertaken a number of business acquisitions and diversifications as the company expands. Selected date from a recent annual report are as follows: ((dollars in thousands)

Property, Plant & Equipment and Intangibles Balance Sheet	Current Year	Prior Year
Film cost (net of amortization)	$1,272	$ 991
Artists Contracts and other Entertainment Assets	761	645
Property, Plant & Equipment (net)	2,733	2,559
Excess of Cost over Fair Value of Assets Acquired	3,076	3,355
Accumulated Depreciation on Property, Plant & Equipment	1,178	1,023
Income Statement
Total Revenue	9,714	10,644
Statement of Cash Flows
Income from Operations	880	445
Adjustments
Depreciation	289	265
Amortization	208	190
Other Adjustments	-1,618	-256
Net Cash provided by Operations	-241	644

Required

5.On the consolidated statement of cash flows, why are the depreciation and amortization amounts added to income from continuing operations?