Cash Flows Flashcards
1
Q
Increase in current asset does what to cash?
A
Consumes cash. Decreases cash flow.
2
Q
An increase in liabilities does what to cash?
A
Postpones cash payment. Frees up cash. Increases cash flow.
3
Q
A decrease in liabilities does what to cash?
A
Consumes cash. Decreases cash flow.
4
Q
🔽 Asset
A
🔼 Cash Flow
5
Q
🔼 Asset
A
🔽 Cash Flow
6
Q
🔼 Liability
A
🔼 Cash Flow
7
Q
🔽 Liability
A
🔽 Cash Flow
8
Q
Decrease in current assets does what to cash?
A
Frees up cash. Increases cash flow.
9
Q
Cash Flow to Assets
A
Net Cash Flows from Op. Activities / Average Total Assets
10
Q
Cash Flow Sales
A
Net Cash flows from Op. Activities / Sales
11
Q
Cash Flow Yield
A
Net Cash Flows from Op. Activities / Net Income
