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Which of the following statements is CORRECT? a . Operating cash flow ( OCF ) is defined as follows: OCF = EBIT ( 1 -

Which of the following statements is CORRECT?
a. Operating cash flow (OCF) is defined as follows:
OCF=EBIT(1-T)- Depreciation and Amortization.
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.
c. Free cash flow (FCF) is defined as follows:
FCF=EBIT(1-T)+ Depreciation and Amortization + Capital expenditures.
d. Operating cash flow is the same as free cash flow (FCF).
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