Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

The debt-service coverage ratio (DSCR) measures the cash flow available to pay current debt obligations. Many lenders set ...

Free cash flow is a measure that helps business owners, investors and others assess a business’s financial performance and outlook. Free cash flow is defined as operating cash flow minus capital ...

A company's cash flow, both inflow and outflow, is the result of operating, investing and financing activities. Revenues and expenses from operations are only part of the cash flow calculation, which ...

FCFE shows a company's money left after paying bills, essential for assessing financial health. To calculate FCFE: net income + depreciation - capex - working capital + net debt. Positive FCFE ...

When you own a restaurant, it's important to calculate your cash flow each accounting period. Cash flow is crucial for your small business to stay afloat. It helps you pay bills, buy equipment and ...

A perpetuity in finance is a stream of payments or cash flows that is presumed to extend indefinitely into the future. Learn the importance of perpetuities, with the help of examples of investments. A ...

The cash flow statement reveals a lot about a business that you can't immediately find on the income statement or balance sheet. For example, many companies are profitable on the income statement, ...

If you are curious about what is free cash flow, you must know its types. There are two main types: free cash flow to the Firm and Free Cash Flow to Equity. FCFF or Free Cash Flow to the Firm FCFF, or ...