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if there is more inflow than out flow then there
will be loss in money running into the business as it will be spent on the things needed to keep the business running
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What is current purchasing power method?
To evaluate an investment which has cash inflows and/or outflows spread over several years it is necessary to take account of the time value of money. That is because a sum to be received in the future is worth less than the same amount received now because the amount received now can be invested immediately. Thus it will grow through earning interest to be a bigger amount at the date when the future amount is received.To equate the cash flows in such an investment they must all be adjusted to their current purchasing power. This is called discounting and can be done with present value tables which supply discount factors for all likely rates of interest over a range of years.
What does in credit mean on a gas bill?
It is usually taken to mean that the amount you have payed the Gas company is more than the value of the gas you have used. This can happen in the summer months if you pay a fixed monthly amount.
Favorable materials quanity variance?
In cost accounting, a variance is the difference between what we expected to happen (what we planned for when we created the budget) and what actually happened. If we produce more units from a given quantity of raw material than we expected to produce when we set up the budget, we have a favorable materials quantity variance, because we produced the goods more efficiently than we had planned for. We have used the raw materials with less waste than expected.
What does more likely than not mean?
More likely than not means that it is probable, i.e., the probability that some event happens is more than 50%.
What is the ideal Price Book Ratio?
It should not be more than 1.5. If book value is more than price then margin of safety is there. The share price can be higher than book value but not more than 1.5.
When performing a cash flow analysis the is the sum of the positive and negative cash flows?
Cash flow analysis is the study of cash inflows and outflows from which activities company received how much cash inflows as well as how much cash outflows from business. If cash inflows more than cash outflows there will be more closing balance of cash then openening balance of cash.
What does a negative cash flow to creditors mean?
Cash flow is any money that comes into or goes out of a business. A negative cash flow would represent debt or a lack of profit for a company. This can be a red flag to creditors.
If fresh water stream flow into salt water why is the lake salty?
All natural water contains various amounts of dissolved solids (generally known as salts), even fresh water. Some inland lakes have no outflows. As water is lost by evaporation, salts are left behind. Therefore, the concentration of salts may increase as time goes by. They may also form salt flats if water is lost faster than the inflows. The Dead Sea is one such salt-lake.
What does more than likely mean?
More than likely mean it might happen
Is the importance of financial managers to firms with large cash inflows greater than for firms with smaller cash flows?
true
What step in the water cycle step is more likely to happen in the day than in the night?
Evaporation is more likely to happen in the day than in the night. There is more temperature in the morning.
How can more then one happen at the same time?
yes more than 1 hurricane can happen at one time
What will happen if there are more plants than animals?
there will be no ecosystem
How do I kiss a girl for the second time?
your first kiss is more planed to happen than your second the second will just kind of happen if it is meant to! your first kiss is more planed to happen than your second the second will just kind of happen if it is meant to!
Does don't count on it mean no?
It means, do not assume it is gonna happen
What will happen if oxygen is abundant than nitrogen?
Well, if you meant "What will happen if oxygen is MORE abundant than nitrogen?" then the answer to that question is that all those who breathe in air would breathe more proficiently than ever before Well, if you meant "What will happen if oxygen is MORE abundant than nitrogen?" then the answer to that question is that all those who breathe in air would breathe more proficiently than ever before
Why are there no capital assets in government type funds?
There are no capital assets in governmental-type funds because those funds account only for inflows and outflows of financial resources. Governmental-type funds can be used and indeed are used to acquire capital assets. When that happens, however, the accounting within the funds is such that there is an expenditure of financial resources, rather than an exchange of a financial resource for a capital asset. Capital assets are reported in government-wide financial statements, but not in fund financial statements.
