Depreciation expense for 2014 is $362. This amount includes capitalized interest of $143.
Interest is allocated and capitalized to construction in progress by applying the firm’s cost of borrowing rate to qualifying assets. Interest capitalized in 2014 is $170.
Ignoring the effects of income taxes, the expensing of previously capitalized interest most likely causes the company’s cash flow from operations to be:
- higher.
- unaffected.
- lower.
为什么说以前的利息资本化是非现金啊
