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Cash Flow Example. Cashflow Example. What is cash flow? Example? I receive an order of preparing 1 kg mango pickle in 150 rupees on May 1 st I want to give it to customer after 10 days ie 10 th May In the meantime, I purchase raw materials for making Mango Pickle
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Cashflow Example What is cash flow? Example? • I receive an order of preparing 1 kg mango pickle in 150 rupees on May 1st • I want to give it to customer after 10 days ie 10th May • In the meantime, I purchase raw materials for making Mango Pickle • I spend 100 rupees on raw materials • I will receive 150 rupees after 10 days from today • So How will I manage the 10 days?
Cash Flow Example • I order the raw materials for 100 rupees • I have 500 rupees with me as initial investment • I start manufacturing • Raw material cost is 100 rupees • After 10 days, I deliver the pickle to customer and get 150 rupees
Cash flow example • My cash flow from May 1 to 10th will be