Understand the replacement chain method, a crucial capital budgeting tool for comparing projects with different life spans. Explore how it works, its requirements, and alternatives.

On a typical electrical construction project, a project management team's success is measured on gross profit. Cash flow concerns are left to the controller, CFO, or sometimes even the owner. What's ...

Discover how businesses and government agencies can use capital investment analysis to assess the potential of long-term ...

Learn how to tell if your business could be facing a cash crunch Written By Written by Staff Senior Editor, Buy Side Miranda Marquit is a staff senior personal finance editor for Buy Side. Edited By ...

Sunk costs are relevant for determining historical financial data but don't affect determinations of cash flows. By definition, sunk costs are costs that occurred in the past and cannot be changed.

The internal rate of return, or IRR, is the interest rate that provides a net present value, or NPV, of future cash flows equal to the initial investment amount. Flip that definition around, and the ...

FASB ISSUED CONCEPTS STATEMENT NO. 7 TO HELP CPAs who use present value and cash flow information as the basis for accounting measurements. Using Cash Flow Information and Present Value in Accounting ...

Every corporation needs reliable access to capital to stay in business. Positive cash flow allows businesses to cover expenses, plan growth initiatives and reward long-term shareholders. Cash flow ...

Savvy investors look at a company's financial health before buying its stock. Some investors monitor a company's free cash flow and review its cash flow statements to gauge how well it manages its ...

Cash flow is, understandably, one of a company’s most significant concerns. To stay on top of this vital financial metric, business owners rely on accurate, consistent cash flow statements. These ...

Cash flow continues to be one of the most persistent challenges for small business owners. Yet, those who manage cash flow effectively gain one of the strongest levers for growth. When cash ...