The determination of net cash flows should never include:

A) changes in depreciation.
B) changes in operating costs.
C) interest charges.
D) a and b only

Net Cash Flows

The difference between a company's cash inflows and outflows during a specific period, representing its ability to generate value.

Depreciation

The accounting entry allocating the cost of a long-lived asset against income over the asset’s life. Depreciation is a noncash charge, so net income is generally less than true cash flow by at least the amount of depreciation.