1. Cash Flow Analysis
Chapter #6

2. Cash Flow Statements
Cash Flow Projection = plan of future money transactions
uses a given time period, usually one year
Cash Flow Summary = actual result of money transactions
usually on a monthly basis

3. Why make a cash flow projection?
1) what enterprises will I produce next year
2) how much of each will I produce
3) what production techniques
4) likely prices I will receive
5) when will I market those products
6) when will I pay for inputs
7) how much money will I need
8) when & how much to borrow
9) when can I repay loans

4. Assignment #1