Module 4 Flashcards
____include all of a firm’s inflows of cash during a given financial period
Cash receipts
The mathematical difference between the firm’s cash receipts and its cash disbursements in each period is called _______
net cash flow
_______ are cash flows associated with the purchase and sale of both fixed assets and equity investments in other firms
investment flows
All cash outflows, any losses, and dividends paid are treated as_______
negative values
_______ lay out a company’s planned financial actions and the anticipated impact of those actions over periods ranging from 2 to 10 years
long-term (strategic) financial plans
_______ is the prediction of the firm’s sales over a given period, based on external and/or internal data; used as the key input to the short-term financial planning process
sales forecast
The _______ result from debt and equity financing transactions. Incurring either short-term or long-term debt would result in a corresponding cash inflow
financing flows
_______ include all outlays of cash by the firm during a given financial period
cash disbursements
_______ are cash inflows and outflows directly related to the sale and production of the firm’s products and services
operating flows
_______ involves preparation of the firm’s cash budget
cash planning
______ is the amount of funds needed by the firm if the ending cash for the period is less than the desired minimum cash balance
required total financing
A sales forecast based on a build-up, or consensus, of sales forecasts through the firm’s own sales channels is called ______
internal forecast
Profit planning involves preparation of _______
pro forma statements
Repaying debt would result in an_______ of cash
outflow
