True or False Amortization reduces cash. The Cash Flow Statement reflects the actual cash flow generated...

True or False

Amortization reduces cash.

The Cash Flow Statement reflects the actual cash flow generated by a business's operations during an accounting cycle.

Repurchasing stock impacts cash

Free Cash Flow (FCF) subtracts Capital Expenditures (CapEx) from Cash Flow from Operations.

Capital expenditures do not impact cash because they do not flow through the Income Statement.

Depreciation is added in the Cash Flow Statement because it is a cash expense

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