In accrual accounting, determining exactly how a company generates or burns its cash is not as straightforward as you may expect. Because of the way companies must record their accounts payable and ...

IRR measures the rate needed to break even on an investment. Calculate IRR by setting NPV to zero and solving for the discount rate. Use Excel's IRR function by inputting initial cost and cash inflow.

The free cash flow of a small business determines how much cash the company has left over at the end of the year after accounting for its expenses. Knowing the free cash flow of the small business ...