Question

Marvin is trying to figure out his cash flow. What is the BEST advice for Marvin to accurately determine his cash flow? OA. Add your liabilities to your assets. OB. Subtract your liabilities from your assets. OC. Add your expenditures to your income. OD. Subtract your expenditures from your income.​

Answer 1

Answer: Subtract your expenditures from your income.

Answer 2

D

Step-by-step explanation:

Cash flow is the flow of cash and cash equivalent in and and out of a business.

there are three types of cash flows:

1. Investing cash flow
2. operating cash flow
3. financing cash flow

Cash flow = income - expenditure

If cash flow is being generated from net income, non cash expenditures e.g. depreciation is added back