Financial and Strategic Management of Projects Wk6

1) Cash flow is regarded as any activity conducted during the course of the business which affects the cash account of a company. In accepted accounting principles, cash is regarded as financially liquid cash and other cash equivalent. From the true business perspective, CEOs of the company are always interested in evaluating the income the company is generating, and cash flow analysis is the most authentic for it. Cash Flow Statement constitutes a fundamental part of the financial statements of any organization. The cash flow analysis is primarily based on the cash flows from operational, financing and investment activities.