Free Cash flow & Cash flow. FCF is used for the valuation of an enterprise while CF is used to calculate an organization’s net cash flow

Cash Book Vs Cash Account: Cash book is a separate book, while cash account is an account within ledger to record cash transaction.

𝐒𝐡𝐨𝐮𝐥𝐝 𝐈 𝐮𝐬𝐞 𝐜𝐚𝐬𝐡-𝐛𝐚𝐬𝐢𝐬 𝐨𝐫 𝐚𝐜𝐜𝐫𝐮𝐚𝐥 𝐚𝐜𝐜𝐨𝐮𝐧𝐭𝐢𝐧𝐠? Cash basis vs accrual basis accounting? Ahh! Confusing- what are they? Why and how Cash basis …

Accrual accounting is an accounting method that records revenues and expenses when they incur- same accounting period.

Cash Accounting method only considers two kinds of transactions- cash inflows & outflows. It doesn't recognize any payables, and receivables.

Free Cash Flow (FCF) indicates that a company is financially sound, and it has the ability to grow and pay its debts and dividends.

The "impact" relates to how the cash flow has changed when there is positive and negative fluctuation in working capital.

Cash flow vs. Profit- Cash Flow represent the liquidity of the company while profitability represents the income and expenses of the company.

Cash Flow Statement helps to track cash inflow and outflow. CFS has three main parts: operating, investing, and financing activities.