What is the Capital Cash Flow
What is the Capital Cash Flow?
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The capital cash flow is the flow obtainable to all holders of securities of the company as debt and shares and this represents the sum of the cash flow obtainable to shares (CFac) and of the cash flow which belongs to debt holders (CFd). The expression that relates CCF along with FCF is as given:
CCFt = FCFt + Dt-1 rt T
The dividend is the part of the net income which the company distributes to shareholders. When the dividend shows real money, the net income is also real money. Is it true?
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