Net investment in operating capital is Rs 7000 and net operating profit after taxes is Rs 11,000 then free cash flow will be
A. -Rs 18,000.00
B. Rs 18,000.00
C. -Rs 4,000.00
D. Rs 4,000.00
Answer: Option D
Solution (By Examveda Team)
Free cash flow = Net operating profit after taxes - Net investment in operating capital= 11000 - 7000 = Rs. 4000.

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