Question

What does cash flow means in accounting parlance?

A Net profit + Dividend paid out Correct Answer Incorrect Answer
B Net profit – Taxes Correct Answer Incorrect Answer
C Net profit + non-Cash expenses Correct Answer Incorrect Answer
D Net Profit + Interest paid Correct Answer Incorrect Answer
E None of the above Correct Answer Incorrect Answer

Solution

Cash flow means net profit plus all non-cash expenses (depreciation, loss on sale of assets, write-offs, etc).

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