Yes, that's the difference between profit and cash flow, basically working capital. I think most people get this, this isn't really one of those magic things.

Yes, that's the difference between profit and cash flow, basically working capital. I think most people get this, this isn't really one of those magic things. In both cases you've described 'profit' is still 'profit' in the generally accepted sense, and we have cash flow statements to help us understand that.