Cash flow

Cash flow is a concept in finance, which relates to the net amount of cash being received and spent by a business during a defined period of time, usually as relates to a specific project for making decisions about that project.

In accounting a cash flow projection sets out all the expected payments and receipts in a given period. It is on the basis of the cash flow projection that managers arrange for employees and creditors to be paid at appropriate times.

See also Discounted cash flow, Net present value, Internal rate of return