Explore BrainMass

Explore BrainMass

    Operating cash flows, rather than accounting profits, are us

    Not what you're looking for? Search our solutions OR ask your own Custom question.

    This content was COPIED from BrainMass.com - View the original, and get the already-completed solution here!

    Operating cash flows, rather than accounting profits, are used in project analysis. What is the basis for this emphasis on cash flows as opposed to net income?

    © BrainMass Inc. brainmass.com December 16, 2022, 8:48 am ad1c9bdddf
    https://brainmass.com/business/project-management/operating-cash-flows-rather-than-accounting-profits-are-us-455096

    Solution Preview

    In project analysis, it is the free cash flow that is integral to the company, not the accounting profit/net income from the project. The operating cash flow being valued ...

    Solution Summary

    Operating cash flows, rather than accounting profits, are used in project analysis. What is the basis for this emphasis on cash flows as opposed to net income?

    $2.49

    ADVERTISEMENT