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where does Warranty provision fall under which category is it Operating Activities, Investing Activities or Financing Activities.
In none of those – the MOVEMENT in a warranty provision is added back to profit before interest and tax (if it’s an increase in the provision – it’s deducted if it’s a reduction in the provision)
The reason is that it’s a non-cash adjustment to the provision – similar to the movement in the provision for depreciation
OK?
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