The first section of the Statement of Cash Flows, Operating Cash Flows, typically begins with Net Income, adds back non-cash expenses such as Depreciation and then also takes into account how Working Capital can have cash flow consequences. Amazon.com, Inc. Consolidated Statements of Cash Flows (in millions) 2014 CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD OPERATING ACTIVITIES Net income (loss) $ (278) Adjustments to reconcile net income (loss) to net cash from operating activities Depreciation of property and equipment, including internal-use software and website development, and other amortization 4,746 Stock-based compensation 1,497 Other adjustments (134) Changes in operating assets and liabilities Inventories (1,193) Accounts receivable, net and other (1,039) Accounts payable 1,759 Changes in unearned revenue 741 Other changes 706 Net cash provided by (used in) operating activities 6,805 Amazon.com: Stock Compensation Amazon.com adds stock-based compensation to their Operating Cash Flows. Why is that?

Answer rating: 100% (QA)

Amazoncom adds stockbased compensation ... View the full answer