An amount allowed under the Income Tax Act to be deducted from the value of certain assets and treated as an expense in computing an individual's or company's income for a taxation year. It may differ from the amount charged for the period in depreciation accounting. This includes stocks and other investments such as investment property. All shares representing ownership of a company, including preferred as well as common shares. It can also be expressed as a percentage.
Cash flow can provide a broader picture of a company's earning power than net earnings alone.
Cash flow is important to investors as it shows the company's ability to pay dividends and finance expansion. A body established by a national government to regulate currency and monetary policy on a national and international level. In Canada it is the Bank of Canada. In the United States it is the Federal Reserve Board and in the United Kingdom it is the Bank of England. An engraved document which shows ownership of a bond, stock or other security.