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Unformatted text preview: operating activities is also used to determine the free cash flow available to pay off dividend.The free cash flow is calculated by deducting the capital expenditure needed to meet normal growth of business from cash flow from operation. Therefore it can be said that after operating activities, the second important part of cash flow statement form investor’s point of view is the investing activities as the capital expenditure is shown in investing activities section of the statement....
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- Spring '11
- Cash Flow Statement