How can you have a cash balance decline and yet earn a net income? Thanks very much
2007-11-18 16:10:32 · 5 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
you have taken cash and put it back in inventory or other capital improvements!!!
2007-11-22 01:26:36 · answer #1 · answered by Anonymous · 0⤊ 0⤋
It should means that the profit margin is still there. But, cash could could have decline due to conversion to current assets or fixed assets.
2007-11-18 16:15:44 · answer #2 · answered by Tortee 2 · 0⤊ 0⤋
Well also your pay off a liability which is a good thing in thwe long run. You want to pay less interest. Interest can affect net income.
2007-11-18 16:21:33 · answer #3 · answered by sparkles 6 · 0⤊ 0⤋
One is used internally and one is used externally.
2016-05-24 03:41:31 · answer #4 · answered by ? 3 · 0⤊ 0⤋
one way is when the company is taking less and less depreciation/depletion expense.
2007-11-18 16:32:13 · answer #5 · answered by !!! 7 · 0⤊ 0⤋