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Examveda

Free cash flow is Rs 15000 and net investment in operating capital is Rs 9000 then net operating profit after taxes will be

A. Rs 24,000.00

B. Rs 6,000.00

C. -Rs 6,000.00

D. -Rs 24,000.00

Answer: Option A

Solution(By Examveda Team)

Net operating profit after tax = Free cash flow + Net investment in operating capital
= 15000 + 9000 = Rs. 24000.

This Question Belongs to Commerce >> Financial Management

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