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Net investment in operating capital is Rs 5000 and net operating...

This question belongs to Commerce Financial Management
Financial Management
?

Net investment in operating capital is Rs 5000 and net operating profit after taxes is Rs 8000 then free cash flow would be

Answer & Solution
Correct Answer: Option C
Free cash flow = Operating profit after tax - Net investment in operating capital
= 8000 - 5000 = Rs. 3000.
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