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How is cash flow measured in a business?
Author: Charly Applegate
Website: http://www.Cashflow-Answers.com
Added: Fri, Aug 11, 2006 10:39:57
Category: Cash Flow Questions
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Basically, cash flow is composed of two components: the cash inflow and the cash outflow. You can measure cash inflow by the receipts from sales, the proceeds of share issues and assets disposal, and other sources of income.
You can measure cash outflow by the payments to the suppliers and to personnel, the capital and interest repayment for loans, dividends, tax responsibilities, and capital expenses.
keywords: Cash Flow | Cashflow | Business About the Author:
Charly Applegate answers frequently asked cash flow questions and factoring questions at PrettyGreatAnswers.com.
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