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Free cash flow is the cash provided by operating activities minus the cash used by financing activities. True or false?

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Question added by abdelaziz allam , محاسب اول , شركة كامبردج مصر للاستثمار التعليمي ش.م.م
Date Posted: 2016/02/11
Mohammed Arif
by Mohammed Arif , Retail Operations Manager , NABEELA GROUP

Yes its true cash free cash flow should be use operating activities only.

Akan Eshiet
by Akan Eshiet , Independent consultant , Pwan homes limited

True I agree with you and your company

Frank Mwansa
by Frank Mwansa , ACCOUNTING LECTURER , FREELANCER

TRUE . The free cash flow to the company is the cash flow derived from operations, after adjustments for working capital changes, for investment and for taxes and it represents the funds available for distribution to the providers of capital i.e shareholders and lenders.

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