A cost is considered relevant if:
i think cash is current asset
postage stamps are not considered cash or a cash equivalent. The reason is that stamps are not considered as liquid as cash because you can not demand cash payment for them.
The temporary cash surplus is managed just like any other cash. The relevant transactions should be recorded on how the cash has been used.
a detailed plan of future cash flows
In the investment world, cash on cash refers to the before tax cash flow and it is relative to the entire amount of cash a person has invested. It is generally only relevant when the owner of an invested asset derives income from the asset that they own.
i think cash is current asset
The term "future cash flow(s)" describes cash that will be received in the future.
postage stamps are not considered cash or a cash equivalent. The reason is that stamps are not considered as liquid as cash because you can not demand cash payment for them.
The temporary cash surplus is managed just like any other cash. The relevant transactions should be recorded on how the cash has been used.
cash equalivant
a detailed plan of future cash flows
A managerial accounting term that is used to describe costs that are specific to management's decisions. The concept of relevant costs eliminates unnecessary data that could complicate the decision-making process. Miss Nasson, India
The present value of future cash flows is inversely related to the interest rate.
no, it's A/R
no, it's A/R
In valuing a firm with no cash dividend, one approach is to assume that at some point in the future a cash dividend will be paid. You can then take the present value of future cash dividends. A second approach is to take the present value of future earnings as well as a future anticipated stock price. The discount rate applied to future earnings is generally higher than the discount rate applied to future dividends.
NO