Gradual disappearance of available cash due to lack of profit.Select the correct termCash Flow TestAuditingCash Reserves DepletionCash-flow Projection

Shortage of cash requiring corrective actions to avoid issues.Select the correct termCash-flow ProjectionMismanagementCash-Flow ProjectionCash-Flow Deficit

Estimation of cash surplus or deficit to manage financial health.Select the correct termIncome StatementAuditingBudgetingCash-Flow Projection

Which of the following is not an early warning indicator of cash flow problems?The entity continues to borrow more money than it repays.Operating cash outflowsOperating activities are paid for using proceeds raised from the issue of shares.Cash received from customers is greater than cash paid to suppliers.

A decrease in accounts payable results in a subtraction in calculating operating cash flows.Group startsTrue or False

Analyse two reasons for a profitable business running out of cash.