Operating cash flow can be computed as:
A) Net income minus depreciation plus taxes.
B) Cash flow from assets plus net capital spending plus the change in net working capital.
C) Net income plus depreciation.
D) Earnings before interest and taxes plus depreciation minus taxes.
E) Earnings before interest and taxes plus depreciation and interest, minus taxes.

Question

Quizplus · Accepted Answer

Operating cash flow is calculated by adding back non-cash expenses (such as depreciation) to net income.

Operating Cash Flow Can Be Computed As