13) Which of the following statements is FALSE?
A) The more cash a firm uses to repurchase shares, the less it has available to pay dividends.
B) Free cash flow measures the cash generated by a firm after payments to debt or equity holders are considere

Answer: B) Free cash flow measures the cash generated by a firm after payments to debt or equity holders are considered. Free cash flow measures the cash generated by a firm after all related payments (making or servicing investments, acquiring property / equipment, repurchasing stock, and making share dividends) are considered; it does not include payments to debt or equity holders.