Cash Flow Ratios: To Analyze Cash Sufficiency of Companies
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Cash Flow Ratios: To Analyze Cash Sufficiency of Companies

We already have multiple financial ratios emanating from the balance sheet and profit and loss accounts. Why do we need to add cash flow ratios to the list? Profit and profitability are a measure of the company’s ability to yield cash. Cash is king. No matter how big the quantum of profit and profitability is,…