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Currently Aft is charged $2,720,000 Depreciation on the Income Statement of Andrews. Andrews is planning for an increase in this depreciation. On the financial statements

Currently Aft is charged $2,720,000 Depreciation on the Income Statement of Andrews. Andrews is planning for an increase in this depreciation. On the financial statements of Andrews will this?
Select: 1
Increase Net Cash from Operations on the Cash Flow Statement.
Have no impact on the Net Cash from Operations as depreciation appears in both Cash Flow and the Income Statement.
Just impact the Balance Sheet.
Decrease Net Cash from Operations on the Cash Flow Statement.

Annual Report Andrews C59559 Round: 4 Dec. 31, 2023
2023 Income Statement
(Product Name:) Aft Able Acre Adam Apple Ask NA NA 2023 Total Common Size
Sales $27,943 $10,922 $11,527 $13,143 $0 $0 $0 $0 $63,535 100.0%
Variable Costs:
Direct Labor $5,474 $2,301 $2,299 $3,128 $0 $0 $0 $0 $13,201 20.8%
Direct Material $8,508 $3,185 $3,310 $3,586 $0 $0 $0 $0 $18,590 29.3%
Inventory Carry $3,517 $1,837 $1,809 $1,893 $0 $0 $0 $0 $9,055 14.3%
Total Variable $17,499 $7,322 $7,419 $8,607 $0 $0 $0 $0 $40,847 64.3%
Contribution Margin $10,444 $3,600 $4,108 $4,536 $0 $0 $0 $0 $22,688 35.7%
Period Costs:
Depreciation $2,720 $1,262 $1,238 $2,561 $0 $0 $0 $0 $7,781 12.2%
SG&A: R&D $0 $0 $0 $0 $235 $259 $0 $0 $494 0.8%
Promotions $1,500 $1,500 $1,500 $1,500 $0 $0 $0 $0 $6,000 9.4%
Sales $3,200 $3,200 $3,200 $3,200 $0 $0 $0 $0 $12,800 20.1%
Admin $1,089 $426 $449 $512 $0 $0 $0 $0 $2,477 3.9%
Total Period $8,509 $6,388 $6,387 $7,774 $235 $259 $0 $0 $29,552 46.5%
Net Margin $1,935 ($2,788) ($2,279) ($3,238) ($235) ($259) $0 $0 ($6,864) -10.8%

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