Ask Question
27 February, 14:52

In order to convert the average annual net cash inflow from the asset back to the average annual operating income from the asset

+3
Answers (1)
  1. 27 February, 18:44
    0
    If you know the average annual net cash flow and you want to know the average annual operating income, you must look for the annual depreciation expense and subtract it from the net cash flow.

    The formula for calculating net cash flows = operating income + depreciation expense

    therefore,

    operating income = net cash flows - deprecation expense
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “In order to convert the average annual net cash inflow from the asset back to the average annual operating income from the asset ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers