Which one of the following is the primary difference between operating cash flow and net income?
A)interest expense
B)indirect costs
C)taxes
D)fixed costs
E)depreciation

Question

Quizplus · Accepted Answer

The primary difference between operating cash flow and net income is depreciation. Depreciation is a non-cash expense that is subtracted from net income to arrive at operating cash flow. Net income includes depreciation as an expense, but operating cash flow adds it back as it does not actually represent a cash outflow.

Which One of the Following Is the Primary Difference Between