The flow back of profit plus depreciation from a project refers to the cash inflow generated by the project after accounting for operational profits and the non-cash expense of depreciation. This flow is important for assessing the project's financial viability, as it provides a clearer picture of the actual cash available to the business for reinvestment or distribution. By adding back depreciation to profits, stakeholders can understand the total cash generated by the project, which aids in making informed investment decisions.
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