Under indirect method of preparing statement of cash flows, depreciation expense affects:

Operating activities

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

Investing activities

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Financing activities

No worries! We‘ve got your back. Try BYJU‘S free classes today!

None of these

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is A
Operating activities

Under indirect method of preparing statement of cash flows, depreciation expense affects operating activities.

Suggest Corrections

Similar questions

Prepare a format of cash flow from operating activities under indirect method.

Prepare a format of cash flow from operating activities under_*_ and indirect method.

* Preapre Cash Flow from Operating Activities using both the methods i.e. Direct and Indirect Method.

Q. On the statement of cash flows prepared by the indirect method, the cash flows from operating activities section would include ______________________.

Q. In cash flow statement the item of Interest is shown in:
a. Operating activities
b. Financing activities
c. Investing activities

Q. Depreciation expenses are to net profit while calculating cash flow from operating activities.

Join BYJU'S Learning Program

Under indirect method of preparing statement of cash flows, depreciation expense affects:

The correct option is A Operating activities Under indirect method of preparing statement of cash flows, depreciation expense affects operating activities.

The correct option is A
Operating activities

Under indirect method of preparing statement of cash flows, depreciation expense affects operating activities.