Arts & Humanities Journal

Title: Company’s Rentability Board through Cash Flows

Abstract:

The objective of the current research is to emphasize the financial balance between the sources of financing and the economic means needed for the commercial and investment activities regarding the minimal financial balance, the maximal indebtness ant the financing limit. The determination of the financial balance is important, because it reflects the rentability of the company's activity when the net treasury is positive and it helps establishing the indebtness optimum. Within this context, the current article is to introduce the rentability board through flows that correlate on one hand the gross surplus of the exploitation, with is the financing resource of the exploitation activity, and on the other hand, the maximal degree of indebtness by assuring the corresponding financial balance so that it does not afflict the company's ability of paying its debts.