Benefit= retained Profit Flashcards
(8 cards)
1
Q
1
A
If business uses retained profit
2
Q
2
A
Won’t incur any debts
3
Q
3
A
Will not need to keep up with capital and interest repayments
4
Q
4
A
Reduced outflows
5
Q
5
A
If inflows more than outflows
6
Q
6
A
Positive net cash flow
7
Q
7
A
Able to keep up with payments to suppliers
8
Q
8
A
Won’t have to sell non current assets to generate inflows