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What problem may occur if cash flow is ignored?

Answer and explanation

Correct answer: लाभ होने पर भी भुगतान करने में कठिनाई

Accounting profit may include credit sales or income that has not yet been collected, while wages, rent and suppliers may require immediate cash. Thus a business can appear profitable but still face a payment shortage if cash inflows and outflows are poorly timed. Monitoring cash flow helps plan liquidity; it does not double customers or remove expenses.

Related tags

Cash FlowLiquidityConceptNature And Importance Of Business FinanceConcept Nature And Importance Of Business FinanceSources Of Business FinanceBusiness StudiesClass 11 Mcq

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