Answer the following statements true (T) or false (F)
1. Free cash flow is calculated by adding cash payments planned for investments in long-term assets and cash dividends to the amount of net cash provided by operating activities.
2. Investors who want to know the amount of cash a company has available for new opportunities, such as expanding into a new sales region, should analyze the company's free cash flow.
3. Free cash flow is the amount of cash available from operating activities before paying for planned investments in long-term assets.
4. Many companies use free cash flow to estimate the amount of cash that would be available for unexpected opportunities.
1. FALSE
2. TRUE
3. FALSE
4. TRUE
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Answer the following statement true (T) or false (F)
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