CASH OUTFLOW

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4 advantages of using a cash budget as management control tool.

Cash budget is the budget which present expected cash inflow and outflow of the entity for the designated time period. Cash budget is prepared for purpose of cash planning and control.

The following are advantages of using a cash budget as management control tool:



Cash budget help to determine whether cash balance remain sufficient to … Read the rest

Cash flow from financing activities – meaning.

Cash flow from financing activities involves cash generated by obtaining resources from owners and providing them with a return on their investment, borrowing money and repaying amounts borrowed and obtaining and paying for other resources obtained from creditors on long-term credit. Cash flows from financing activities involve the proceeding from issuing share or other similar instrument, debentures, mortgages, bonds and … Read the rest