On the statement of cash flows,depreciation would be classified as?
A) A financing activity.
B) An operating activity.
C) An investing activity.
D) A noncash activity.

Question

Quizplus · Accepted Answer

Depreciation is a noncash expense that is subtracted from revenue when calculating net income. Since it is not a cash transaction, it is classified as an operating activity on the statement of cash flows.

On the Statement of Cash Flows,depreciation Would Be Classified As