describe the money cycle?

Question

describe the money cycle and explain how to better manage working capital

Answer 1

Wow that is a loaded question and a good one. Just remember money is a commodity and its price is the interest or return it can earn at a certain level of risk tolerance. Money chases money. Foreign investment in the U.S. costs us a ton in interest but we want it because we refuse to have a balanced budget and they want to invest in us because the return is good and relatively safe. The economy woks good or bad to the extent oney keeps chasing money -- like the folks spending social security checks on landlords, utilities, medicines and grocers -- that money transfer creates a another money transfer and on and on. This is not the best answer. But hopefully it gives some perspective.

MICHAEL

Answer 2

Easy ...

1) work
2) get paid.
3) spend the money.

4) return to (1) above.

NB. Some people start at (3) and never quite understand why they never nave any money left after getting paid :-)

Answer 3

Well this is a good one, how desparate are you to know, I found this link

http://www.netgm.com/tools/decision_making/money_cycle_example.html

Answer 4

i have no idea but please ignore the retard from above!
lame dude!