As we all know that money is the most important thing in the funding for the business. So a business manager that operates with the steady cash flow is likely to meet it's business targets with ease than the one that doesn't.
To be able to determine the stability or health of cash flow, you must carry out cash flow analysis over a certain period, for example a month, three months, six months or a year. To make cash flow analysis easier, you have to divide cash flow according to activities such as operations, investment and financing.
One thing that credit sales does to businesses is that it scuttles the cash flow of the business. With that, the business might not be able to order for stock when it wants to.
One thing that credit sales does to businesses is that it scuttles the cash flow of the business. With that, the business might not be able to order for stock when it wants to.
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