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Cash Flow

The following provides a definition and meaning for the term Cash Flow:

Definition - the strict definition

The total amount of money being transferred into and out of a business, esp. as affecting liquidity.

Meaning - how it relates to pharmacy sales

Cash Flow is the measure of the movement of cash into (as revenues) and/or out of (as expenses) a business as a result of investment or operating decisions. The total during any given specified time period may be expressed as positive cash flow or negative cash flow.

Cash Flow in turn affects the Liquidity of the business.

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