Since depreciation and other noncash charges represent a scheduled write-off of an earlier cash outflow,they should not be included in a cash budget.

Name: Since depreciation and other noncash charges represent a scheduled write-off of an earlier cash outflow,they should not be included in a cash budget.
Brand: Quizplus
Rating: 4.9 (49 reviews)

Question

Quizplus · Accepted Answer

Depreciation and other noncash charges do not represent any cash outflows in the current period, so they should not be included in a cash budget which accounts for actual cash inflows and outflows.

Since Depreciation and Other Noncash Charges Represent a Scheduled Write-Off