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7 May, 03:17

What is free cash flow? It is "free" money, which means it is available at a 0% interest rate. It is the amount of cash that a business could be expected to generate from its normal operations. Free Cash Flow is another name for Net Income. It is the total amount of money being transferred into and out of a business.

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  1. 7 May, 03:43
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    The correct answer is letter "A": It is "free" money, which means it is available at a 0% interest rate.

    Explanation:

    Free Cash Flow refers to the amount of money a firm has available after all its regular operations were covered including an amount allocated for the maintenance of its assets. A free cash flow report does not include a company's non-cash expenses which are inclded in an Income Statement. As well, the payment of interest is not included in a free cash flow report. Therefore, free cash flow is available at 0% interest rate.
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