I want to know about cash flow?

cash flow
is the depreciation include the cash flow? how? how to related tax? pls give one or two example. pls explain clearly. thanks..

By: FAMA

About the Author:



Cuc Moock

Share and Enjoy:
  • Digg
  • del.icio.us
  • Facebook
  • Mixx
  • Google
  • description
  • LinkedIn
  • Live
  • MySpace
  • NewsVine
  • Reddit
  • Technorati
  • Yahoo! Buzz

One Response to “I want to know about cash flow?”

  • Pierre O:

    Depreciation is not considered a cash flow.
    However, depreciation is a tax deduction and tax is considered a tax flow.
    Example:
    Investment of 100,000 $ – depreciated over 5 years
    Net Income of 25,000 $ per year
    Tax rate at 30%
    In year 1-10:
    Net Income 25000
    Depreciation 10000
    Taxable income 15000 it is 25000-15000
    Taxes due 4500 it is 30% of 15000
    Cash Flow 20500 it is 25000-4500

    Hope it makes sense…

Leave a Reply

online secured loan
sleep apnea pillow

Get Your Free Report On Three Sure Fire Strategies To Increase Your Cash Flow.

May 2012
M T W T F S S
« Feb    
 123456
78910111213
14151617181920
21222324252627
28293031