Financial Terms

Kembali
Cash flow

This is the balance of funds received and payments made for a specified period. Positive Cash Flow indicates the growing liquidity of the company, while negative, on the contrary, indicates a decrease in liquidity. At the same time, the flow is not a direct indicator of a company's profitability / loss ratio, but only shows how flexible it can be. For example, businesses with a strong flow find it easier to overcome financial difficulties and expand faster.