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LSDefine

Simple English definitions for legal terms

incremental cash flow

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A quick definition of incremental cash flow:

Incremental cash flow refers to the additional amount of money a business earns as a result of a particular investment. It is the difference between the cash flow generated by the investment and the cash flow that would have been generated without the investment. In simpler terms, it is the extra money a business makes because of a specific decision they made. For example, if a company decides to invest in a new product line, the incremental cash flow would be the additional money earned from selling that product line, minus the costs associated with producing and selling it.

A more thorough explanation:

Incremental cash flow refers to the net increase in cash flow that can be attributed to a particular capital investment. It is the difference between the cash flow generated by the investment and the cash flow that would have been generated without the investment.

For example, if a company invests in a new production line that generates an additional $100,000 in cash flow per year, and the company would have generated $50,000 in cash flow without the investment, then the incremental cash flow is $50,000.

Incremental cash flow is an important concept in capital budgeting, as it helps companies determine whether a particular investment is worth pursuing. By comparing the incremental cash flow generated by an investment to its costs, companies can determine whether the investment will be profitable.

increment | incrementum

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18:47
hey yall
18:47
im premed idk why im here
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we’re like cool and sexy and fun I get it
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true i love ur user
18:49
thank you my little crow friend
Dkk
18:50
Med law easy done
medicine is a scam
join the ethically ambiguous legal field instead
Dkk
18:57
I want to meet an attorney that defends clients who run into flat earth problems. I want an attorney that knows and believes in flat earth theory.
19:05
i want a flat earther for president. i want a guy who posts on 4chan for president. i want someone who mogs for president.
Dkk
19:18
Exactly. My version of that awful poem.
Dkk
19:19
I can accept a president with maybe one or two of the poems traits hut good God, all of them??? No ty.
windyMagician
19:20
president who respects sex is crazy
windyMagician
19:20
we had bill clinton already
Dkk
19:21
Bill Clinton, first and last black president
windyMagician
19:23
I want to go running but my leg feels weird
windyMagician
19:23
it doesn't hurt its just tingly
Dkk
19:26
It needs more alcohol. You tingle when your nerves need watering.
19:27
try stretching it maybe to see what's up
windyMagician
19:27
stretches make me think it's just soreness
windyMagician
19:27
I'm sober lol
Dkk
19:38
Anyone else get the google notification that your LSD password has been compromised lol. LSD got hacked.
20:48
what.jpg @Dkk
CynicalOops
21:03
You think you just fell out of a coconut tree?
jackfrost11770
21:10
nope dk
CynicalOops
22:37
Calvinamala Harris
jackfrost11770
23:16
should i start using letterboxed again
Dkk
23:25
@jackfrost11770: if you want but like it aint for me
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