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Business Planning MCQs

What is the purpose of a cash flow forecast?

To forecast the company's cash flow and also see if and when the company will ever run out of cash at all

To fulfill a legal requirement

To predict profit and loss

To show if the company can afford to take on investors

Answer

Correct Answer: To forecast the company's cash flow and also see if and when the company will ever run out of cash at all

Explanation:

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