Between 2004 and 2010, Amazon.com, the industry leader in online sales of books and other consumer products,

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Between 2004 and 2010, Amazon.com, the industry leader in online sales of books and other consumer products, increased its free cash flow from $477 million to $2,516 million. Prior to 2002, Amazon had never generated positive net cash flow from operations. What does this tell you about the stage of growth that Amazon is in?

Free Cash Flow
Free cash flow (FCF) represents the cash a company generates after accounting for cash outflows to support operations and maintain its capital assets. Unlike earnings or net income, free cash flow is a measure of profitability that excludes the...
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Introduction to Financial Accounting

ISBN: 978-0133251036

11th edition

Authors: Charles Horngren, Gary Sundem, John Elliott, Donna Philbrick

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