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Net Capital Spending

Question 48

Multiple Choice

Net capital spending:


A) is equal to ending net fixed assets minus beginning net fixed assets.
B) is equal to zero if the decrease in the net fixed assets is equal to the depreciation expense.
C) reflects the net changes in total assets over a stated period of time.
D) is equivalent to the cash flow from assets minus the operating cash flow minus the change in net working capital.
E) is equal to the net change in the current accounts.

Correct Answer:

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