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Profit can stay as cash, pay down debt, get reinvested by upping costs, or get paid out as dividends to the owners. Either way, the cash flow statement needs t
by danuker 4y ago
Profit can stay as cash, pay down debt, get reinvested by upping costs, or get paid out as dividends to the owners.
Either way, the cash flow statement needs to reflect it, the book value of the company should reflect it, and the market value might reflect it.