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    • Question

      Depreciation would be classified

      as:
      A Investing cash flow Correct Answer Incorrect Answer
      B Operating cash flow Correct Answer Incorrect Answer
      C Financing cash flow Correct Answer Incorrect Answer
      D No cash flow impact Correct Answer Incorrect Answer
      E Either a or b Correct Answer Incorrect Answer

      Solution

      Depreciation is a non-cash expense so it does not have any impact on cash flows.

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