Planned investments and cash dividends are deducted from ________ to arrive at free cash flow.
A) net cash provided by operating activities
B) net cash provided by investing activities
C) net cash provided by financing activities
D) net income

Question

Quizplus · Accepted Answer

Free cash flow is calculated by deducting planned investments and cash dividends from net cash provided by operating activities. This measure indicates the amount of cash a company generates after accounting for capital expenditures and dividends, reflecting its ability to generate additional revenues.

Planned Investments and Cash Dividends Are Deducted from ________ to Arrive