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Online retailer Amazon has higher Free Cash Flow (Operating Cash Flow – Capital Expenditures) as a...

Online retailer Amazon has higher Free Cash Flow (Operating Cash Flow – Capital Expenditures) as a percentage of sales than brick and mortar retailer Whole Foods due to:

A. Lower capital expenditures as a percent of sales due to no physical stores at online retailers

B. Higher inventory amounts held to stock brick and mortar retailers which are a use of cash

C. Both

D. Neither

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Answer #1

on-line retailer Amazon has higher Free Cash Flow (Operating Cash Flow – Capital Expenditures) as a percentage of sales than brick and mortar retailer Whole Foods due to:

A. Lower capital expenditures as a percent of sales due to no physical stores at online retailers

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