Understanding Cash Flow (Finance Fundamentals for Nonfinancial Managers Series) - Hardcover

Plewa Jr., Franklin J.; Friedlob, George T.

Hardcover

ISBN 10: 0471103853 ISBN 13: 9780471103851

Publisher: Wiley, 1995

Synopsis

PROFITS ARE AN OPINION, BUT CASH IS A FACT.

Understanding CASH FLOW

If the term "cash flow" has always remained uncomfortably vague in your mind, Understanding Cash Flow will give you, quickly and simply, a firm grasp of this crucial index of a company's health and direction. It covers, in detail, the process, the terminology, and the internal and external players in the flow of cash through a company. You'll learn:
* The fundamentals of cash management and how it affects the quality of a company's earnings
* How to read cash flow statements
* How cash balances are analyzed and monitored--including internal controls over cash receipts and disbursements, plus bank account reconciliation and activity analysis
* How to avoid the pitfalls of granting credit--evaluating customer credit, sources of credit information, and overall credit policy
* How to prevent fraud and waste
* And much more!


Understanding Cash Flow is a part of the new Wiley series, Finance Fundamentals for Nonfinancial Managers--designed to serve managers, owners, investors, students and others by explaining clearly and concisely what they need to know about important areas of cash flow management. Other titles in the series will cover income statements, return on investment, budgeting, and balance sheets.

About this title

About the Author

FRANKLIN J. PLEWA, Jr., is Professor of Accounting at Idaho State University and the recipient of honors and awards for both teaching and research. He is the author of many books and articles, and is coauthor with George T. Friedlob of Keys to Improving Your Return on Investment (ROI); and Financial and Business Statements.

GEORGE T. FRIEDLOB is Professor and Institute of Internal Auditors Research Foundation Faculty Fellow in the School of Accountancy at Clemson University. He has received numerous academic and professional awards and is the author and editor of a wide variety of professional publications.

From the Back Cover

It would be difficult to overestimate the importance of cash flow to a business: it is a vital index of a company's health, affecting its ability to make purchases, pay its debts, invest in research and development, expand, and more. Yet, important as it is, cash flow remains a mysterious process to many people in decision-making positions, people who need to know everything they can about a company's financial activities to make sound, informed judgments.

Understanding Cash Flow is written for nonfinancial managers, small business owners, investors, and others who appreciate the importance of the cash flow process, but feel they lack the formal training to understand how it works. With Understanding Cash Flow, you will learn quickly and simply everything you need to know about the basics of cash flow—without the abstract theories and complex formulas. It will give you a deeper, more sophisticated understanding of your company, and therefore enhance your decision-making ability.

Through a combination of clear writing and illustrative examples drawn from small companies as well as Fortune 500 corporations, this book shows you how cash flow works and how it impacts various aspects of the company. It provides a broad perspective on cash management and the effects of forecasting, collecting, disbursing, and investing on a company's general objectives. Specifically, you will learn:

• The difference between cash flow and net income—accrual accounting versus cash flow
• The role of a formal cash budget in planning and control
• How cash balances are analyzed and monitored
• How the cash manager makes investments and payments
• The importance of a company's relationship with its banks
• And more, including chapters on fraud, internal control, credit, and liquidity.

If you are a manager, owner, investor or business student, Understanding Cash Flow will enable you to gain a secure grasp of this vitally important aspect of your work.

Edition details

• Publisher: Wiley
• Publication date: 1995
• ISBN 10: 0471103853
• ISBN 13: 9780471103851
• Binding: Hardcover
• Language: English
• Edition number: 1
• Number of pages: 256