How do you treat depreciation in calculating cash flow from operating activities? Post category:Accountancy Reading time:1 mins read SOLUTION Depreciation is added back to net profit while calculating cash flows from operating activities. Please Share This Share this content Opens in a new window X Opens in a new window Facebook Opens in a new window Pinterest Opens in a new window LinkedIn Opens in a new window Viber Opens in a new window VK Opens in a new window Reddit Opens in a new window Tumblr Opens in a new window Viadeo Opens in a new window WhatsApp Read more articles Previous PostHow do you treat profit or loss on sale of fixed assets for calculating Cash flow from operating activities? Next PostWhy do we add back depreciation to net profit while calculating cash flows from operating activities? (C.B.S.E. 2016, C) You Might Also Like Revenue from Operations: Cash Sales Rs. 5,00,000; Credit Sales Rs. 6,00,000; Sales Return Rs. 1,00,000. Current Assets Rs. 3,00,000; Current Liabilities Rs. 1,00,000. Calculate Working Capital Turnover Ratio. August 16, 2022 ‘Sale of goods Rs. 3,000 for cash will increase the Gross Profit Ratio.’ Is this statement correct? Give reason in support of your answer. (C.B.S.E. 2020. Kolkata, Lucknow) October 3, 2022 Following are the Balance Sheets of Krish tec Ltd. for the years ended 31st March 2012 and 2011: August 18, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
Revenue from Operations: Cash Sales Rs. 5,00,000; Credit Sales Rs. 6,00,000; Sales Return Rs. 1,00,000. Current Assets Rs. 3,00,000; Current Liabilities Rs. 1,00,000. Calculate Working Capital Turnover Ratio. August 16, 2022
‘Sale of goods Rs. 3,000 for cash will increase the Gross Profit Ratio.’ Is this statement correct? Give reason in support of your answer. (C.B.S.E. 2020. Kolkata, Lucknow) October 3, 2022
Following are the Balance Sheets of Krish tec Ltd. for the years ended 31st March 2012 and 2011: August 18, 2022