Which of the following terms is computed as cash provided by operations less capital expenditures and cash dividends? A : adjusted cash flow B : indirect cash flow C : free cash flow D : direct cash flow

Question

Computers & Technology

Eliana Ortiz

3 October, 17:07

Which of the following terms is computed as cash provided by operations less capital expenditures and cash dividends? A : adjusted cash flow B : indirect cash flow C : free cash flow D : direct cash flow

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Answers (1)

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Koen Joyce · Answer 1

Free cash flow

Explanation:

Free cash flow is an accounting term which represents the cash produced by a company via its operations, less spending on assets. This can also be defined as the cash that is left after an organization has paid for the operating and capital expenses, which is also called CAPEX. Cash dividends are also included in the CAPEX of an organization.