Which of the Following Statements Is Correct

question 34

Multiple Choice

Which of the following statements is correct?

• A)Changes in working capital have no effect on free cash flow.
• B)Free cash flow (FCF) is defined as follows:FCF = EBIT(1 - T)+ Depreciation and Amortization- Capital expenditures required to sustain operations- Required changes in net operating working capital
• C)Free cash flow (FCF) is defined as follows:FCF = EBIT(1 - T) + Depreciation and Amortization + Capital expenditures
• D)Operating cash flow is the same as free cash flow (FCF).

---

Definitions:

Identical Genes

Genes that are exactly the same in sequence and function, often referring to the genetic material shared by identical twins.

Monozygotic Twins

Identical twins resulting from the division of a single fertilized egg, sharing the same genetic material.

Dizygotic Twins

Also known as fraternal twins, are siblings born at the same time but from two different eggs fertilized by separate sperm cells.

Reunited

The process of bringing together or coming together again after being separated.