Answer :
true
Operating cash flow (OCF) refers in financial accounting to the amount of money that a company produces from the earnings it creates, except for costs associated with a physical-term investment in new items or securities expenditure.
The International Financial Reporting Standards describe positive cash flow as funds generated by activities with less taxes and interest earned, dividend income earned and less dividends paid to give rise to operating cash flow. When measure revenue earned by sales, the cash received from the consumers and cash paid to the vendors must be determined.
What is Operating cash flow?
The operating cash flow (OCF) is the cash generated from the normal operations of a business. Operating cash flow is part of the business' cash flow statement, which contains different sections for all the company's cash flow, including the cash flows of its operating, investing and financing activities.
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