Net Cash-Flow
Money actually entering minus leaving business.
Formula
Net Cash-Flow = Total Cash Inflows − Total Cash Outflows
Real World
A profitable restaurant like Nando's can still have negative monthly net cash-flow if it pays large rent and supplier invoices before customer card payments clear — profit and cash timing differ.
Exam Focus
Always distinguish net cash-flow from profit in answers; examiners specifically penalise conflating the two concepts.
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