3.7 Cash flow Flashcards
1
Q
Net cash flow
A
An indication of how a business is doing in terms of wheter it is able to pay its bills and other costs.
2
Q
Cash inflow
A
Cash received from the sale of goods and services.
3
Q
Cash outflow
A
Used to pay for the operational costs of the business.
4
Q
Working capital
A
The money that a business has available for its operational
5
Q
Cash flow
A
The movement of money in and out of an organization, based on actual movements of cash or based on forecasts.
6
Q
Formula of Net cash flow
A
Cash inflow - Cash outflow
7
Q
Closing balance
A
The amount of cash at the end of a trading period.
8
Q
Opening balance
A
The amount of cash at the beginning of a trading period
9
Q
Investment
A
The capital expenditure of a business.
