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Cash Flow Planning

Cash Flow refers to the inflow and outflow of money. It is a record of income and expenses. The purpose of cash flow planning is to ensure a surplus. So it is extremely important to analyze each and every item in the income and expenditure statements and do a budgeting. Cash flow planning also includes the identification of the future incomes and expenditures (both short-term and long-term) and making planned investments so that the required amount is accumulated within the required time frame.