Cash beyond the firm's typical needs that is available for distribution to common shareholders is called "free cash flow" and consists of the following:

A) net cash flow of the firm.
B) net cash flow after payment of dividends.
C) net cash flow less certain cash reinvested to keep the business competitive.
D) net cash flow plus depreciation.

Free Cash Flow

The cash a company generates after accounting for cash outflows to support operations and maintain its capital assets.

Cash Reinvested

Funds that a company allocates back into its business for growth purposes, such as expanding operations or purchasing new equipment.

Net Cash Flow

The disparity between what a business earns and spends in cash over a designated timeframe.