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1. Is it more important for an entrepreneur to track cash flow or profits?
2. How might it be influenced by business and/or industry?
3. What troubles will an entrepreneur face if she or he tracks only profits and ignores cash?
4. What troubles will an entrepreneur face if she or he tracks only cash and ignores profits?
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Is it more important for an entrepreneur to track cash flow or profits?
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1. Is it more important for an entrepreneur to track cash flow or profits?
It is important for entrepreneurs to track cash flow as well as profitability as both the components are important for the survival and growth of the business. Cash flow ensures that firm is possessing adequate liquidity to fund its day to day operations whereas profitability ensures that organization's strategies are yielding results and firm is not losing its capital.
2. How might it be influenced by business and/or industry?
It might be influences by business or industry that ...
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