What does a cash flow diagram of a project represent?
A)summary of benefits and costs of a project
B)summary of the timing and magnitude of payments and receipts as they occur over time
C)magnitude of cash flows at a given period of time
D)summary of present, future, and annual worths of a project
E)change in value of money at different interest rates at various compounding periods

Question

Quizplus · Accepted Answer

A cash flow diagram is a visual representation that shows the timing and magnitude of cash inflows and outflows for a project over a specific period. It helps in understanding when money will be spent and received, aiding in the financial planning and analysis of the project.

What Does a Cash Flow Diagram of a Project Represent