How are cash flow and profit related?
Asked 5 years ago
What's the differences and similarities between cash flow vs. profit related?
Jolina Regin
Thursday, November 11, 2021
Cashflow means the amount of cash moving in and out of the business for a specific period while profit is the amount a business gets after subtracting expenses from the revenue.
Both are important for businesses cash flow shows whether the business can pay its creditors and run day-to-day operations while profit shows the success of a business for that period.
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