A cash-flow diagram is a financial tool used to represent the cashflows associated with a

security Security is protection from, or resilience against, potential harm (or other unwanted coercive change) caused by others, by restraining the freedom of others to act. Beneficiaries (technically referents) of security may be of persons and social ...

, "project", or business. As per the graphics, cash flow diagrams are widely used in structuring and analyzing securities, particularly swaps. They may also be used to represent payment schedules for bonds, mortgages and other types of loans. In the context of business, and engineering economics, "Instrumental in tech learning"
/ref> these are used by management accountants and engineers, to represent the cash-transactions which will take place over the course of a given project. Transactions can include initial investments, maintenance costs, projected earnings or savings resulting from the project, as well as

salvage Salvage may refer to: * Marine salvage, the process of rescuing a ship, its cargo and sometimes the crew from peril * Water salvage, rescuing people from floods. * Salvage tug, a type of tugboat used to rescue or salvage ships which are in dis ...

and resale value of equipment at the end of the project. These diagrams - and the associated modelling - are then used to determine a break-even point ( "cash flow neutrality"), or to further, and more generally, analyze operations and profitability. See

cashflow forecast Cash flow forecasting is the process of obtaining an estimate or forecast of a company's future financial position; the cash flow forecast is typically based on anticipated payments and receivables. See Financial forecast for general discussion ...

and

operating cash flow In financial accounting, operating cash flow (OCF), cash flow provided by operations, cash flow from operating activities (CFO) or free cash flow from operations (FCFO), refers to the amount of cash a company generates from the revenues it brings in ...

References

Business economics Cash flow Management cybernetics Swaps (finance) {{finance-stub