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Can depreciation be considered as a source of internal fin.?

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(Querist)
28 December 2011 Can depreciation be considered as a source of internal finance..?
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Vishal D Shah

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Vishal D Shah (Expert)
31 December 2011 No. It can't be as not part of free reserves.
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C A S.S.Agarwal, M.Com.,LL.B,

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C A S.S.Agarwal, M.Com.,LL.B, (Expert)
06 April 2012 Yes Depreciation is source of Finance. What is depreciation? Is is an expenses made by you? No it is only an entry in the books of account for user of assets and therefore it is an item which is to be considered for source of internal accrual
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