Question: Why does finance add back depreciation and amortization in its measure of economic returns? Depreciation is highly uncertain and should not be counted. Depreciation isn't

Why does finance add back depreciation and amortization in its measure of economic returns? Depreciation is highly uncertain and should not be counted. Depreciation isn't a tax expense. Companies often overspend for assets, leading depreciation to be too high. Depreciation appears on the balance sheet, not the income statement

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