Question

Which is better for a business – positive cash flow or negative cash flow? Explain your answer.

Answer 1

Answer:

It is necessary for daily operations, taxes, purchasing inventory, and paying employees and operating costs. Positive cash flow indicates that a company's liquid assets are increasing. ... Negative cash flow indicates that a company's liquid assets are decreasing.

Explanation:

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Answer 2

A positive cash flow is better for the business than a negative cash flow.

Explanation:

• A positive cash flow indicates the companies liquidity and assets are on the rise and a negative cash flow states that the company's assets and liquidity are on the declining side.  

• The daily in and out the flow of cash is essential for the business to run successfully in the long run.

• In order for a business to generate profit and the daily operations to taxes, purchase inventory, and to pay employee operating costs.

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• brainly.in/question/18006734 answered by  rose966828.