Which of the Following Statements Is True

Which of the following statements is true?

A) Depreciation is a noncash expense and reduces taxable income thereby reducing the cash outflow associated with tax payments.
B) Depreciation's impact upon cash flows can be accounted for by adding depreciation back to net income before interest and after taxes.
C) Depreciation's impact upon cash flows can be accounted for by adding the tax savings associated with the depreciation to net income before interest and after taxes.
D) All of the above statements are true.
E) Only (a) and (b) are true.