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what is the answer to this question? thanks for the help Accounting statements represent a company's earnings, but this is not the real cash that

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what is the answer to this question? thanks for the help

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Accounting statements represent a company's earnings, but this is not the real cash that a company generates. Earnings data can be manipulated and can be deceiving. Thus, corporate decision makers and security analysts focus on the free cash ow that a firm generates to analyze the company's real cash position. Which of the following statements best describes free cash flow? 0 The cash flow available for distribution to all investors after the company has made all investments in fixed assets and working capital necessary to sustain a firm's ongoing operations 0 The excess cash generated by revenues less all operating expenses Suppose you are the only owner of a chain of coffee shops near universities. Your current cafes are doing well. but you are interested in starting a fine-dining restaurant. You decide to use the cash generated from your existing business to enter into a new business. Your accountant provides you with the following data on your current financial performance: Financial update as of June 15 Your existing business generates $99,303 in E31T. The corporate tax rate applicable to your business is 35%. The depreciab'on expense reported in the financial statements is $13,351 You don't need to spend any money for new equipment in your existing cafes; however, you do need $14,350 of additional cash. You also need to purchase $?,920 in additional suppliessuch as cloth tabledothes and napkins. and more formal tablewareon credit. It is also estimated that your accruals. including taxes and wages payable, will increase by $4.950. Based on your evaluation you have in free cash flow. Free cash flow can be used for various reasons, including distributing it to stockholders and detrtholders. which of the following is not a use of free cash flow? 0 Retiring debtthat is. to payr oFF debt D Acquiring operating assets

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