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What are free cash flows

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1. Why don't we calculate the difference in the equity account between the beginning and end of the year and consider that difference as a source or use of cash? Why do we similarly exclude the cash account?

2. What are free cash flows? Who is likely to be most interested in them? Why?

3. Outline the thinking behind ratio analysis in brief, general terms (a few lines; don't go into each ratio individually).

Reference no: EM131007550

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