Define cash equivalents.

Q: What about time flows and cash Value money?

A: The time value of money refers to a sum of money that is worth more now than the same sum of money…

Q: What is Interest Rate Risk and Cash Flow Risk

A: Interest rate risk: The interest rate risk is the risk that occurs due to the change in the interest…

Q: What is alternative cash flow measures?

A: Cash flow refers to the amount of cash that moves in and out of the business because of its…

Q: What is Internal Rate of Return - Variable Cash Flows with Reversion?  Please provide examples.

A: The internal rate of return is the one of the discounted techniques of capital budgeting which is…

Q: Define the term loan cash flow?

A: Statement of cash flow: It refers to a financial statement that shows all the cash payments and…

Q: Differentiate between the accrual method and cash method?

A: The Cash Method: Revenue is reported on the income statement only when cash is received. Expenses…

Q: Cash vs. Cash Equivalence

A: Cash  Cash Equivalents  Cash is money in the form of currency. This includes all bills, coins, and…

Q: What is the cash conversion cycle? What is its equation?

A: The CCC tells firms that in how many days’ firms will realize its cash from its operations. It is a…

Q: cash and cash equivalents include

A: Introduction: Cash is used to buy goods and services and to pay off debts. Items that do not qualify…

Q: What is Internal Rate of Return - All Cash Deal?  Please provide examples

A: Internal Rate of Return (IRR)IRR is the annualized effective compounded rate or return that can be…

Q: List the Interest formulas for single Cash Flows?

A: So now that we have the general formula which describes how a single cash flow moves through time:…

Q: Cash surplus and economic assumptions are components of a financial planning model. True or False

A: Future is uncertain and it contains various risk factors. Financial planning (FP) model is used to…

Q: Explain the term Cash Equivalency?

A: It is an evaluation procedure by which the cost of comparable properties selling at various funding…

Q: What are the interest formulas for single cash flows?

A: Present Value: The value of today’s amount to be paid or received in the future at a compound…

Q: What is the loan cash flow?

A: Answer: A cash flow loan is nothing but a form of debt finance in which bank lends money usually for…

Q: Example scenarios of commodity money, fiat money, representative money, fiduciary money and…

A: One of the important tools, in order to buy and sell the goods and services in the market, is known…

Q: List the [ive patterns of cash flow?

A: The Movement of cash in or from the organization plays an important role in various decisions making…

Q: What is normal cash flow project?

A: Cash flow refers to the amount of cash that the company receives from investing into a project.…

Q: Explain discounted cash Dow techniques (DCFs)?

A:

Q: What are net operating loss carryforwards and how can they provide cash savings?

A:

Q: Give some examples of Discounted cash flow?

A: Discounted cash flow: It's a time value method to calculate the project or investment value  using…

Q: Differentiate between the Loan and Project Cash Flows?

A: Loan Cash Flows:   It refers to the borrowing of unsecured nature that is used by small businesses…

Q: Sinking Fund under Cash and Cash Equivalents?

A: Sinking Fund is a fund that contains cash which is set aside to pay off a  long term debt or bonds…

Q: Which of the following methods consider the time value of money? A. payback and accounting rate of…

A: Time Value of Money The time value of money is the concept that money you have now is worth more…

Q: Describe the essential differences between the following cash flow streams: Annuity versus…

A: The difference in the cash flows will arise due to the change in the time period which is associated…

Q: Instruments of money market .Explain it

A: Money Market are short-term instruments used for financing. These instruments aim to increase the…

Q: How can we develop the techniques for establishing cash flow equivalence with compound-interest…

A: Answer: To measure the equivalence of the sequence of compound interest factors used to extract the…

Q: What two definitions of cash are commonly encountered?

A: Introduction: Usually, cash is often listed under the head of current assets on the company’s…

Q: Distinguish between the gross and net methods of accounting for cash discounts.

A: Cash discount: A cash discount is a reduction in the amount that is to be paid by the credit…

Short-term Financing

Short-term financing occurs when a company finds an external funding source to run the business for a short period of time that takes less than a year to pay off. Working capital financing is another term for short-term financing. When a company's cash flow from operations is uneven, short-term financing is used to generate cash flow and cover operating expenses. Short-term finance is typically used by businesses to fund inventory, accounts receivable, and loans.