Which of the following is NOT directly reflected in the cash budget of a firm that is in the zero tax bracket?
A) Payments lags.
B) Depreciation.
C) Cumulative cash.
D) Repurchases of common stock.
E) Payment for plant construction.

Question

Quizplus · Accepted Answer

Depreciation is a non-cash expense and does not directly affect the cash budget. It is an accounting entry that reduces the value of assets over time but does not involve any actual cash outflow.

Which of the Following Is NOT Directly Reflected in the Cash