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What is the difference between business cash flow and profit?
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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Cash flow is the movement of money in and out of the business. It is taken into consideration when planning the funding requirements of a business, either on a short or long-term basis, by forecasting the cash that is expected to come in and go out of the business.
On the other hand, profit is basically defined as revenue minus costs. In other words, it is the difference between the amount of money that the business gets from selling a certain product and the amount spent in selling it.
keywords: Cash Flow | Cashflow | Profit | Business About the Author:
Charly Applegate answers frequently asked cash flow questions and factoring questions at PrettyGreatAnswers.com.
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