: answer the following questions on a separate document. explain how
For Stock A, the free cash flow for 2013 was $8 million and for 2014 it was $12 million. For Stock B, the free cash flow for 2013 was $6 million and for 2014 it was $8 million.
From these figures we can infer that both companies have positive free cash flows which suggests they are generating more cash than they need to meet their operating expenses. This could be a sign of financial health as companies with stable sources of income are generally seen as being in better positions than those who do not have such sources of income. Additionally, the increase in free cash flow from 2013 to 2014 might suggest that both companies are experiencing growth and potential profitability over time, though this is something that would need to be analyzed further before making any conclusions.
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