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Technology Stocks : Dell Technologies Inc.
DELL 133.18-0.1%Nov 28 12:59 PM EST
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To: Mohan Marette who wrote (53401)7/23/1998 2:03:00 PM
From: Chuzzlewit  Read Replies (3) of 176387
 
Mohan, yes. When you build you create a depreciable fixed asset. Land is never depreciated. The expense is depreciation and is spread out over several years. But financial analysts look at things a little (a lot, actually) differently. We watch cash flows, and building represents expended cash. On the other hand, the tax consequences of depreciation creates cash inflows. That's why we like rapid depreciation.

TTFN,
CTC
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