Question: Cash Flows from Operating ActivitiesNet Loss On its income statement for a recent year, Tesla, Inc., reported a net loss of $1,063 million from operations.

Cash Flows from Operating ActivitiesNet Loss

On its income statement for a recent year, Tesla, Inc., reported a net loss of $1,063 million from operations. On its statement of cash flows, it reported $2,098 million of net cash flows from operating activities.

The contradiction between the loss and the positive cash flows is that depreciation is an expense in determining net income, but it does not result in a cash ____________. Thus, depreciation and amortization is ____________ the net loss in order to determine net cash flows from operations.

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