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Is Depreciation a source of Fund

There is big debate whether depreciation is source of fund or not.

1# Some say, ''Yes' it is true because there is no outflow of Fund.
But it is acceptable as deduction from profit for calculation of
taxable profit and dividend. That saved fund can be used for
development of company.''

2# Some say, '' It is not source of fund because there is no
profit, there will be no saving of tax via depreciation.

Comments

: 3
  1. Depreciation is a source of fund as per my research

    ReplyDelete
    Replies
    1. Hello anonymous. I appreciate that you found an astounding concept. I believe that depreciation is a source of fund too but somewhere I believe that we can see depreciation in a different way. I'm just having problems with mathematical equations. Can we talk over this ? Pls reply in mail. My mail ID is pratikthapa.noman@gmail.com

      Delete
  2. yes depreciation is source of fund because it shows us the real amount of the assets as per current period

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Accounting Education: Is Depreciation a source of Fund
Is Depreciation a source of Fund
Accounting Education
https://www.svtuition.org/2011/03/is-depreciation-source-of-fund.html
https://www.svtuition.org/
https://www.svtuition.org/
https://www.svtuition.org/2011/03/is-depreciation-source-of-fund.html
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