Which of the following measures the cash available to the company's investors? a. operating cash flow...
Which of the following measures the cash available to the company's investors?
| a. |
operating cash flow |
|
| b. |
free cash flow |
|
| c. |
net cash flow |
|
| d. |
investing cash flow |
Homework Answers
Free cash flow is the one which measures the cash available to the company's investors. Free cash flow is the cash a company produces through its operations, less the cost of expenditures on assets. Or it can be defined as the cash left over after a company pay for its operating expenses and capital expenses, also known as CAPEX.
Hence, option B is the correct answer.
SUMMARY:
Option B is the correct answer.
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Which of the following measures the cash available to the
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