LIKVIDNOST KAO RAZVOJNA KOMPONENTA U SEZONSKIM VARIJACIJAMA FINANSIJSKIH TOKOVA
LIQUIDITY AS A DEVELOPMENT COMPONENT IN THE SEASONAL VARIATIONS OF FINANCIAL FLOWS
Author(s): Dragan L. Vukasović, Srećko NovakovićSubject(s): Financial Markets, Accounting - Business Administration, Socio-Economic Research
Published by: Nezavisni univerzitet Banja Luka
Keywords: seasonal variation; cash flow; cash; liquidity;
Summary/Abstract: Synchronicity of cash flows, receiving and issuing cash conditions liquidity as the development component of the company. If to receive cashfrom operations is more consistentwith the dynamics ofthe expenditurefor financial obligations, than aproblemfor liquidityis relativelysmall. If theflows ofincome and expenditureoccur in a largertime gap, therisk ofinsolvencyincreasesmore. This riskiseliminatedbytrying tomaintainconstantcash balances, which serve the same purposeas any otherstocks:to absorbthe deficitcaused byunevencashreceiptstothe continuityissueand necessaryfundsto meet liabilitiesandmake them possible. Establishingand keepingthat balanceas well astheseasonal variationof financial flows in the service of developmentis a specificproblemof financial management, given thatitis directlyconflictingprinciplesof liquidity and profitability. Underestimatingthe requiredcash balancesthreatensits continuityor the possibility ofsettlement of liabilities, which isthe essence ofthe principle ofliquidity. The overestimationof thebalancedirectlythreatens the company's development andprofitability, because the cash atbankdoes not provideanyor verylittle income. Missedincomefromalternative usesof unemployed cash is the opportunity costof holding unemployed cash.
Journal: SVAROG
- Issue Year: 2015
- Issue No: 10
- Page Range: 206-212
- Page Count: 7
- Language: Bosnian
