AQA GCSE Business · 8132
Paper 2
Revise: Cash Flow ForecastingCash flow is the movement of money into and out of a business. Customer payments bring cash in; payments to suppliers take cash out. The timing matters.
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GCSE Business · key term
The movement of money into and out of a business over a period of time.
Used by AQA, Edexcel and OCR
Paper 2
Revise: Cash Flow ForecastingCash flow is the movement of money into and out of a business. Customer payments bring cash in; payments to suppliers take cash out. The timing matters.
Specification 1.3.3 · Paper 1
The movement of money into and out of a business over time.
Positive net cash flow builds the cash balance, but a business does not need positive net cash flow every single month: cash saved from earlier months can cover a temporary shortfall.
Keep net cash flow separate from the closing balance: one measures the change during the month; the other shows the cash position at the end.
Distinguish negative net cash flow from a negative closing balance. Use both figures when judging whether the business faces a cash shortage.
Do not confuse positive net cash flow with a positive cash balance. One measures a change during a period; the other measures cash available at a particular time.
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Paper 2
The movement of money into and out of a business over time.
Revise: Influence of Finance on ActivityCash flow is the movement of money into and out of a business. Cash is the money available to pay for things, so monitoring it helps a business judge whether it can meet upcoming payments.
The movement of money into and out of a business over a period.