Question: Under operating cash flows, each company is adding back stock - based compensation. What is the rationale for doing so ? a . Stock based

Under operating cash flows, each company is adding back stock-based
compensation. What is the rationale for doing so?
a. Stock based compensation is not an expense
b. Stock based compensation is not an accounting expense, but it is a
cash expense
c. Stock based compensation is an accounting expense, but it is not a
cash expense
d. Stock based compensation is a financing cash flow, not an operating
cash flow
e. None of the above

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