Type out the formula of Free Cash Flow (FCF).

Which of the following about free cash flow to the firm (FCFM) is correct? (0.5 mark) A. FCFM represents the cash paid to debtholders and shareholders B. FCFM represents the cash paid to debtholders C. Interest tax shield should be deducted in calculating FCFM D. Net borrowings should be added in calculating FCFM

Which of the following shows the relationship between FCFF (free cash flow to the firm) and cash flow from operating activities (CFO)? Note that FClnv denotes fixed capital investment and WClnv denotes working capital investment. 0 a. FCFF = CFO + Net noncash charge + After-tax interest expense - FClnv 0 b. FCFF = CFO + After-tax interest expense - FClnv - WClnv 0 c. FCFF = CFO + After-tax interest expense - FClnv 0 d. FCFF = CFO + After-tax interest expense - WClnv 0 e. None of the above

A firm may use its free cash flow to the firm (FCFF) to 0 a. Pay interests to the debtholders 0 b. Pay tax expenses 0 c Build a war chest for MBA 0 d. A and C only 0 e A B and C

i don't understand the calculation of relevent cash flow

What is meant by Cash flows ?