Suppose that on its historical Income Statements, a firm always split its total depreciation and amortization between
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Suppose that on its historical Income Statements, a firm always split its total depreciation and amortization between the Cost of Goods Sold and SG&A. Thus, when we forecast those accounts (namely, CGS and SG&A) we implicitly, and correctly, forecast the firm’s depreciation and amortization. Nonetheless, why must we always separately forecast depreciation and amortization as part of our forecasting model? Be brief!
Related Book For
Accounting Principles
ISBN: 978-0470534793
10th Edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
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