Asset/liability management reduces firm risk from unpaid liabilities. Process focuses on timing of cash flows for liability payments. Well-managed assets and liabilities increase business profits
CFO shows money generated from core business activities like manufacturing and sales. First section of cash flow statement, excluding long-term capital expenditures. Helps determine financial success of core business operations
Money is only a tool, not a replacement for personal drive. Time is more valuable than money. Wealth is about having options, not just money. Money moves from those who don't manage it to those who do
CCE are most liquid current assets on business balance sheets. Investments with maturity of 90 days or less qualify as CCE. Equity investments are generally excluded unless they are essentially CCE
Cash flow measures net cash inflows and outflows in a business. Three main categories: operating, investing, and financing activities. Positive cash flow indicates surplus, negative indicates cash shortage
Payment reference helps understand bank account payments. Can be numbers, letters, or informal messages. Used in business to match payments to projects