Whether you're a business owners or a personal finance enthusais, you should know how to calculate cash flow so you can make the best money decisions.

Here's an explanation and simple example of how to calculate the present value of free cash flow.

Free cash flow (FCF) is the amount of money a company has that exceeds the amount needed to sustain and grow the business.

The free cash flow (FCF) formula calculates the amount of cash left after a company pays operating expenses and capital expenditures. Learn how to calculate it.

Strong free cash flow can indicate that a company is … Continue reading ->The post How to Calculate Free Cash Flow (FCF) appeared first on SmartAsset Blog.

Free cash flow yield measures a company's cash generation relative to its market value, helping investors assess financial health and potential.

All those decisions rest with the general manager. Not the owner. For me, free cash flow is the stream of cash the general manager is letting flow out of the business and into the owner’s control.

To calculate the present value of any cash flow, you need the formula below: Present value = Expected Cash Flow ÷ (1+Discount Rate)^Number of periods Thus, for year one, the math would look like ...