Question
Which of the following is the main difference between cash flow for equity and cash flow for invested capital? a. Invested capital cash flow adds
Which of the following is the main difference between cash flow for equity and cash flow for invested capital?
a. Invested capital cash flow adds back interest expense which is not considered for equity cash flow.
b. Invested capital cash flow adds or subtracts debt borrowings or repayments which are not considered for equity cash flows.
c. Equity cash flow includes the effects of interest expense and debt borrowings/repayments during the period that are not considered for invested capital cash flow.
d. Equity cash flow subtracts anticipated capital expenditures which are not considered for invested capital cash flow.
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