The correct answer is C. free cash flows.
Free cash flow is the cash that a company generates from its operations after accounting for capital expenditures and working capital requirements. It is a measure of a company’s financial health and its ability to generate cash to invest in new projects or return to shareholders.
Available income is the income that a company has available after accounting for taxes. It is not the same as free cash flow because it does not take into account capital expenditures or working capital requirements.
Cash income is the income that a company receives in cash. It is not the same as free cash flow because it does not take into account non-cash expenses, such as depreciation and amortization.
Free distribution is the amount of cash that a company distributes to shareholders. It is not the same as free cash flow because it does not take into account capital expenditures or working capital requirements.
Here is a formula for calculating free cash flow:
Free cash flow = Net income + Depreciation and amortization + Changes in working capital – Capital expenditures
Net income is the company’s profit after taxes. Depreciation and amortization are non-cash expenses that are used to account for the wear and tear on assets. Changes in working capital are the changes in the company’s current assets and current liabilities. Capital expenditures are the company’s spending on new assets.
Free cash flow is an important measure for investors because it shows how much cash a company is generating from its operations. This information can be used to assess the company’s financial health and its ability to generate cash to invest in new projects or return to shareholders.