diff --git a/lib/igniter/project/deps.ex b/lib/igniter/project/deps.ex
index 10ed974..a5ce935 100644
--- a/lib/igniter/project/deps.ex
+++ b/lib/igniter/project/deps.ex
@@ -68,7 +68,7 @@ defmodule Igniter.Project.Deps do
           Igniter.add_warning(igniter, error)
         end
 
-      {:ok, current} ->
+      {:ok, current_source} ->
         if opts[:on_exists] == :skip do
           igniter
         else
@@ -82,7 +82,7 @@ defmodule Igniter.Project.Deps do
               Code.eval_string("{#{inspect(name)}, #{inspect(version)}}") |> elem(0)
             end
 
-          current = Code.eval_string(current) |> elem(0)
+          current = Code.eval_string(current_source) |> elem(0)
 
           {desired, current} =
             case {desired, current} do
@@ -105,12 +105,15 @@ defmodule Igniter.Project.Deps do
 
             igniter
           else
+            desired_display = dep_declaration_string(name, version, opts[:dep_opts])
+            current_display = String.trim(current_source)
+
             if opts[:yes?] ||
                  Igniter.Util.IO.yes?("""
                  Dependency #{name} is already in mix.exs. Should we replace it?
 
-                 Desired: `#{inspect(desired)}`
-                 Found: `#{inspect(current)}`
+                 Desired: `#{desired_display}`
+                 Found: `#{current_display}`
                  """) do
               do_add_dependency(igniter, name, version, opts)
             else
@@ -383,6 +386,24 @@ defmodule Igniter.Project.Deps do
     end
   end
 
+  defp dep_declaration_string(name, version, dep_opts) do
+    quoted =
+      if dep_opts do
+        quote do
+          {unquote(name), unquote(version), unquote(dep_opts)}
+        end
+      else
+        {:__block__, [],
+         [
+           {{:__block__, [], [name]}, {:__block__, [], [version]}}
+         ]}
+      end
+
+    quoted
+    |> Sourceror.to_string()
+    |> String.trim()
+  end
+
   defp do_add_dependency(igniter, name, version, opts) do
     error_tag =
       if opts[:error?] do
diff --git a/test/igniter/project/deps_test.exs b/test/igniter/project/deps_test.exs
index 92d0dbc..3d211a5 100644
--- a/test/igniter/project/deps_test.exs
+++ b/test/igniter/project/deps_test.exs
@@ -143,6 +143,60 @@ defmodule Igniter.Project.DepsTest do
     end
   end
 
+  describe "add_dep/3 replace prompt (#338)" do
+    setup :verify_on_exit!
+
+    test "shows readable quoted runtime in Desired/Found when replacing an existing dep" do
+      igniter =
+        test_project(
+          files: %{
+            "mix.exs" => """
+            defmodule Test.MixProject do
+              use Mix.Project
+
+              def project do
+                [
+                  app: :test,
+                  version: "0.1.0",
+                  elixir: "~> 1.17",
+                  start_permanent: Mix.env() == :prod,
+                  deps: deps()
+                ]
+              end
+
+              def application do
+                [extra_applications: [:logger]]
+              end
+
+              defp deps do
+                [
+                  {:esbuild, "~> 0.8", runtime: true}
+                ]
+              end
+            end
+            """
+          }
+        )
+
+      expect(Igniter.Util.IO, :yes?, fn prompt ->
+        assert prompt =~ "Desired:"
+        assert prompt =~ "Found:"
+
+        # https://github.com/ash-project/igniter/issues/338
+        assert prompt =~ "Mix.env() == :dev"
+        refute prompt =~ ":__aliases__"
+        refute prompt =~ "context:"
+
+        false
+      end)
+
+      Igniter.Project.Deps.add_dep(
+        igniter,
+        {:esbuild, "~> 0.10", runtime: quote(do: Mix.env() == :dev)}
+      )
+    end
+  end
+
   describe "set_dep_option" do
     test "sets the option when no options exist" do
       test_project()