I have a question about the formula of Net Capital Spending, which is composed of Ending fixed assets+Beginning fixed assets-Depreciation.

Depreciation is deducted only on income statement, not on Balance sheet, right? So, depreciation must not be deducted from ending and beginning fixed assets, right?

Then why do we have to add back depreciation to calculate Net Capital Spending?

Btw I can understand that we have to add back depreciation when calculating operating cash flow(EBIT-taxes+depreciation) since those components are from income statement and depreciation is already deducted .