Applied Materials No-Politics Thread (AMAT) Message Board

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Technology Stocks : Applied Materials No-Politics Thread (AMAT)

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To: etchmeister who wrote (12129)	11/18/2004 8:40:51 PM
From: Nancy	Read Replies (1) of 25522

If you look at the Cash Flow Statement which is part of the financial reporting, you will see depreciation is in the plus column. Cash Flow statement starts with Net Income, and Add / Subtract items to reconcile with Cash. Since depreciation is subtracted from Gross Income but does not affect cash, it is added back. It is definitely not a cash outflow. technically you can say it is not a cash inflow either. However, cash saved (tax saving) is cash "in".

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