Cash Flow
How does it work?
Cash flow is the movement of money into and out of a business but it is not the actual money. Cash flow is sometimes unpredictable in business as the amount of money changes depending on what are they doing.
Inflow:
Inflow is when a business has money come in, from sales, loans from banks or selling their assets or when they receive interest from them.
Outflow:
Outflow is when money moves out of the business, like when the business has to pay wages, salaries suppliers or when interest has to be payed to the bank.
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