Friday, November 16, 2018 3:43:47 PM
What is a 'Non-Cash Charge'
Non-cash charges are expenses that can be found in a company's income statement, but unaccompanied by a corresponding cash outflow. These are accounting expenses that can represent meaningful changes to a company's financial standing without affecting short-term capital in any way. Depreciation, amortization, depletion, stock-based compensation and asset impairments are common non-cash charges that reduce earnings but not cash flows.
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