What is the primary factor in the creation of positive cash flow?

Question

Quizplus · Accepted Answer

Increasing sales revenue is the primary factor in creating positive cash flow. When revenue increases, there is more cash coming into the business, which can be used to pay expenses and invest in future growth. While expense reduction and effective investment appraisal can also contribute to positive cash flow, they are secondary factors that are dependent on the overall health of the business. An expanding economy and product innovation may also create opportunities for increased sales revenue, but they are not the primary factor in creating positive cash flow.

What Is the Primary Factor in the Creation of Positive