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5. Which of the following statements is CORRECT? a. A shortcut to calculate free cash flow (FCF) is defined as follows: FCF = Net income

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5. Which of the following statements is CORRECT? a. A shortcut to calculate free cash flow (FCF) is defined as follows: FCF = Net income - Depreciation and Amortization. b. Changes in working capital have no effect on free cash flow. c. Free cash flow (FCF) is defined as follows: FCF = EBIT(1 - T) + Depreciation and Amortization Capital expenditures required to sustain operations - Required changes in net operating working capital. d. Free cash flow (FCF) is defined as follows: FCF = EBITGI -T)+ Depreciation and Amortization + Capital expenditures. e. Net cash provided (used) by operations is the same as free cash flow (FCF)

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