cash flow forecasting Flashcards
1
Q
Cash Flow
A
A prediction of cash moving in/out of a business over a period of time
2
Q
Cash Flow Forecast
A
predicting the future flow of cash in and out of a business’ bank accounts.
3
Q
Improving Cash Flow
A
*Improving Revenue
*Increase Prices
*Reduce Wage Bill
*Cut Costs
*Sale of Assets
4
Q
CFF Advantages
A
*Helps with planning
*Supports attempts to raise finance
*It assists in determining the viability or feasibility of a new business venture.
5
Q
CFF Disadvantages
A
*Only a forecast-can be inaccurate
*Increased competitors or their actions can effect
*Time consuming
