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A Company Can Increase Free Cash Flows to the Firm

Question 28

Multiple Choice

A company can increase free cash flows to the firm (FCFF) by doing which of the following?


A) Increasing investments in receivables, inventories, and plant assets
B) Decreasing investments in receivables, inventories, and plant assets
C) Maintaining a steady level of net operating profit after tax
D) Decreasing the level of net operating profit after tax.
E) None of the above

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