In the indirect method of calculating cash flow from operations, depreciation, as a noncash expense, would be added back to profit.

Name: In the indirect method of calculating cash flow from operations, depreciation, as a noncash expense, would be added back to profit.
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In the indirect method of calculating cash flow from operations, depreciation is added back to net income because it is a non-cash expense that had reduced net income but did not involve an actual outflow of cash.

In the Indirect Method of Calculating Cash Flow from Operations