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Definitions: Cash Flow

Cash flow is for us the best leading indicator of the success of a business or a personal balance sheet. Cash flow math is simple, revenue (income) minus outflow (expense) equals cash flow. This amount in surplus to outflow allows for you to invest further, raising you cash flow further

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Investment Bias: Mental Accounting

Mental accounting occurs when a person views various sources of money as being different from others. This looks different for different people, but a few examples are money earned at a job may be viewed differently than money from an inheritance, or money as income from stocks different from income

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