Entity: CASH-FLOW
Cash flow refers to the movement of money into and out of a business, project, or financial product. It encompasses both inflow from revenues and outflow from expenses, providing a measure of liquidity and internal funds available.
CASH FLOW
Etymology
The term 'cash flow' originated from the concept of the movement of money in and out of a business.
Definition
Cash flow refers to the movement of money into and out of a business, project, or financial product. It encompasses both inflow from revenues and outflow from expenses, providing a measure of liquidity and internal funds available.
Historical Context
The concept of cash flow has been integral to financial management and analysis, dating back to the early days of commerce and trade. Understanding cash flow is crucial for businesses to ensure financial stability and growth.
Cultural Significance
Cash flow analysis plays a vital role in various industries, influencing decision-making processes, investment strategies, and overall financial health. It is a key metric for investors, lenders, and business owners.
Related Concepts
- Net Income
- Liquidity
- Revenue Recognition
- Financial Statement Analysis
See Also
A financial term describing the movement of money into and out of a business, project, or financial product, encompassing both inflow and outflow.