The cash flow

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The cash flow

The cash of the country depends on the monthly income and expenses. If expenses are higher than the income, you can expect the available cash to go down. It should go up if there is more income than cost. There are however several other factors influencing the available cash.

Loans you take are not considered income but are added to your cash. When you pay these loans back, it is not considered cost, but they are subtracted form your cash. The interest you receive or pay for loans does count as income or cost. Also investments in new corporations are not considered cost but they do influence the cash flow.

Loans and investments in new corporations are not considered cost because they do not change the total assets of the country. If you take a loan for 10 B, the total of your loans increases by 10 B but your cash goes up by the same amount and your assets are unchanged. If you build up a new corporation, the cash may go down by several billions but you get a new corporation with about the same value and again, your assets remain unchanged.

Taxes paid by the population are income. You receive the tax payments and your cash goes up. Salary payments for teachers in the country are costs as you pay the teachers and your cash goes down.

The cash data on the financial page is important. It shows the current cash available but it also shows how much you owe in loans and the value of your corporations. The assets are a good measure for the success of your presidency and for your country. The more assets you have the better the country is doing. The assets influence your assets index which is a factor in the total score.

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