Why might numbers of operating cash flow and net cash flow be different?
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Net cash flow contains:\n1) Operating cash flow\n2) Cash flows from/for investments\n3) Cash flows from/for financing\n\nHence, Net cash flow is different because it includes two more classes of cash flow.  An example of cash flows from investments is investment into equity. Examples of cash flows from financing are principal payments on debt or raising of funds from the equity market (e.g. IPO). \n\nThere will be slight variations on what is included in Operating Cash Flows, Cash flow from Investments and Cash flows from financing depending on which country you are in because each country uses different "Generally Accepted Accounting Principles".
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Income statement: Shows how net revenue turns into the net income.\n\nBalance sheet: Shows assets and liabilities.\n\nCash flow statement: Shows incoming and outgoing money.
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In some ways, yes, beause it shows the speed at which your market is turning in cash rather than disbursing it in real time, at the very least, daily.  Your accounting profit is a rather static measure of your performance for the accounting period covered.
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If you are preparing a balance sheet cash should be shown as a current asset. And capital employed is calculated by adding profits to initial/opening capital and deducting any drawings. \n\nOpening capital should consist of all cash and assets invested in the business initially.
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The answer is 11% because capital allocation is equal.  However, this is purely a classroom exercise that is not commonly used in the real world. \n\nI have seen attempts to put businesses into different WACC pools.  That's fine and good that different projects should return different projects.  If you're doing great if you're making 10% ROIC in the US, but you wouldn't be recouping the cost of capital if you only got 10% in Nigeria.  That's not the issue. The issue is more on the financing side. \n\nFor public companies, WACC is calculated using market weighted cost of capital for debt and equity.  Equity is calculated using the CAPM formula, which uses the "beta" for the stock.  The stock's beta will have already included the intrinsic risk of the operations in another country.  In the example that you provided, the WACC for country A may be 10% - but how can you get to that?  You'd have to fudge the beta downward to get the cost of equity.  And how do you know how much to fudge downward.  The country may be lower risk, but how much lower risk.  Also, how do you calculate the industry risk.  It's one thing to operate a utility, but what about a gold mine?  The bottom line is that you've now made multiple assumptions on your WACC and it's starting to be "made up".  \n\nThe second thing is that financing is not necessarily always in discreet pools.  Sure, you can raise debt to be associated with specific projects - that's easy.  But what about the equity.  You've raised a pool of equity - let's say $100m.  So if you keep it in a Country A account earmarked for the Country B, it's worth less value because the project has a higher WACC?  That's not right.   Or Project B pays a dividend to Project A and the same dollar suddenly becomes more valuable because of the transfer into a lower WACC holding company?  \n\nNope.  Generally you only have 1 WACC per company.
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Do you mean statement of cash flows?\n\nHere is an example:\nSample Technology Corporation\nStatement of Cash Flows\nFor the Year Ended December 31, 2006\n\nCash Flows from Operating Activities    \n   Net Income    \n   Adjustments    \n      Depreciation Expense    \n      Amortization Expense    \n      Gain on Sale of Equipment    \n      Increase in Accounts Receivable    \n      Decrease in Unearned Rent Revenue    \n      Decrease in Inventories    \n      Increase in Accounts Payable    \n      Increase in Prepaid Expenses    \n      Increase in Income Taxes Payable    \n\nNet Cash Provided by Operating Activities\n   \n     \nCash Flows from Investing Activities    \n   Purchase of Available-for-sale Securities    \n   Sale of Equipment    \n   Purchase of Buildings    \n\nNet Cash Used in Investing Activities\n   \n     \nCash Flows from Financing Activities    \n   Borrowings from Banks    \n   Issuance of Common Stock    \n   Payment of Cash Dividends    \n\nNet Cash Used in Financing Activities\n   \n     \nNet Increase/Decrease in Cash and Cash Equivalents    \nCash and Cash Equivalents, January 1, 2006    \nCash and Cash Equivalents, December 31, 2006
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In risky investments, the earlier positive cash flow should be weighted more.  But in a NPV calculation, as long as NPVs are the same between two investments, they are considered equal.  One investment might promise some small inflow in the beginning years, another investment might promise a lump sum payout at the end of the entire duration.
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Hi.\n\nYou can look at the source below for a more detailed answer, but here it is summarized:\n\nFirst, they're both essentially the same, for all intents and purposes.  However, if you really want to get nitpicky...\n\nNon-profits mean zero profits.  At the end of the year, they shouldn't have any assets in excess of their liabilities.\n\nNot-for-profits mean that they can make a profit but they're not specifically a for-profit enterprise.  Think of the American Red Cross or a local school.  They're not there to make profits for stockholders, but clearly they leave the year with more than they started with (or at least hopefully they do!).
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Actually they're both different transactions. It's all part of a negotiation tactic. One usually tries to get the most value up front, so we try to get two cents out of them. When they feel reluctant to put their two cents in, we can take the next step and make a deal they can't refuse: we'll pay them to tell us their thoughts. But notice that it's not two pennies for your thoughts. That would create a negative cash flow. It's all written off as a marketing expense anyway.
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There are lost of systems such as numbering, alfa-numric or just alfabetic. I guess it would depend on what type of business you are in. Need more info to really help you out.
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Retained earnings and depreciation are accounting figures and do not represent cash flows.  Retained earnings itself cannot generate cash, neither can depreciation.\n\nOn a balance sheet, retained earnings is an accumlative figure representing the amount of income retained (or lost) by a business in each year of its existance.  It does not represent cash balances.  In fact, when preparing a cash flow statement you ignore it completely\n\nDepreciation is an attempt to ensure annual accounts, inparticular the annual profit figure, show a fair figure for profit in that year.\n\nFor example if you were a farmer who had\nincome of £10,000\nand\ncosts of £5,000 you would make a\nprofit of £5,000.\n\nHowever if bought a tractor in one year which cost £10,000 which would last for 10 years.  You would make a loss of £5,000 in one year and profit in the next 9 when the cost of the tractor was actually helping you make that profit.  Is this a fair way of showing profit?  Nope no really.\n\nThe international accounting standards require that you spread the cost of the tractor out across the years that you will get benefit from the tractor (say £10,000 divided by 10 years = £1,000 per year).  This means you would make a profit of £4,000 rather than a loss.  Much fairer.\n\nYou can calculate the cash flow (which can be negative and positive) in a particular year by starting with retained earnings in that year and adding back in the depreciation charge for the year and any other non-cash adjustments (such as provisions) and taking off any increase of Inventories, adding in any decrease in Inventories, taking off any decrease in trade creditors, adding in any increase in trade creditors and taking off any increase in debtors and adding in any decrease in debtors.  This is a very simplistic view and you would do well to look at an example.\n\nTry searching the net for How to prepare a cash flow statement using the indirect method.
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false.\n\nthe different between assets and liabilities are your NET assets
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Because even though they're off the balance sheet, they might affect the future cash flow and ability for the bank to meet requirements.  It might also have to do with reserve requirements and credit rating, but I didn't look those 2 up.
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Typically you would present your actual numbers for the period  in one column and the budget in another column and maybe last years actual number in the next column in such a fashion that they can be easly compared.  When comparing the amounts by line item big variances would trigger some further investigation.\n\nBudgets are typically for your own use although if you supply a budget to your bank they might want to see a comparison.  Budgets are never a part on any audited financial statements.
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Most companies operate with a certain amount of cash sitting in the bank.  Some companies have a lot of cash.\n\nWhen another company buys a "cash-rich" company, they get the cash along with the company.  This reduces the effective purchase price, since they are paying money only to get some of it right back.\n\nA simple example:  If I were to buy your lemonade stand for $10, and the stand had $1 sitting in the till, I would only be paying "$9 net of cash" since I would be getting that $1 back.\n\nLarger example: A company with $100 million of cash in the bank gets bought for $1 billion in cash.  The "net of cash" purchase price would be $900 million.
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I don't really know why, but my 401k displays a certain number of 'units' and a 'unit price' which doesn't correspond to the actual share value.
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Commercial or residential?\n\nFor either there are various rules that effect LTV (Loan to Value)\n\nIn residential the max loan can be limited due to income or occupancy type along with other factors.\n\nIn commercial, the LTV is determined by calculating the NOI ( net operating income ) and several other factors.