Based on the Following, What Is Free Cash Flow Cash Flows from Investing Include the Purchase of a Replacement

question 71

Short Answer

Based on the following, what is free cash flow? $\begin{array}{lc}\text { Net cash flow from operating activities } & \$ 318,000 \\\text { Net cash flow used for investing activities } & (30,000) \\\text { Net cash flow from financing activities } & 30,000\end{array}$ Cash flows from investing include the purchase of a replacement asset for $100,000 and the sale of the one used in production, which is now obsolete, for $70,000. Cash flows from financing include $70,000 of borrowing.

---

Definitions:

Non-Volatile

Referring to a type of computer memory that retains its data even when not powered, such as flash memory and ROM.

Data Warehouses

Centralized repositories designed to store, manage, and retrieve structured and unstructured data from various sources for analysis and reporting purposes.

Data Marts

Subsets of data warehouses focused on specific business lines or departments, providing targeted information for data analysis and decision making.

Source System

A system where data originates before it is transferred to a destination system, commonly used in data integration and migration scenarios.