How Is Net Cash Flow Calculated If Depreciation Is the Only

Multiple Choice

How is net cash flow calculated if depreciation is the only noncash item in a firm's income statement?

A) Net cash flow = Net income + Depreciation and amortization
B) Net cash flow = Accounting profit - Depreciation and amortization
C) Net cash flow = Accounting profit - Operating cash flow
D) Net cash flow = Fixed assets + Depreciation and amortization
E) Net cash flow = Operating cash flow - Depreciation and amortization