Instead of paying $100,000 cash for a supply of widgets, the buyer would pay $75,000 or $80,000 cash and the balance in cash equivalent
serve two basic purposes: as a place to store emergency funds to help meet living expenses in the event of a sudden drop in income or to pay for large, unexpected expenses such as a medical or legal bill; and as a parking place for investment money until one is ready to put it into more attractive assets such as stocks, real estate, or long-term bonds.
Moldflow Corporation Unaudited Condensed Consolidated Statement of Cash Flows (in thousands) Three Months Ended Year Ended June 30, June 30, June 30, June 30, 2006 2005 2006 2005 Cash provided by operating activities $ 481 $ 1,252 $ 1,939 $ 6,338 Cash provided by (used in) investing activities (2,001) (523) 1,135 2,991 Cash provided by (used in) financing activities (1,347) 611 647 2,490 Effect of exchange rate changes on cash and cash equivalents
401 (218) (520) 1,104 Net increase (decrease) in cash and cash equivalents
(2,466) 1,122 3,201 12,923 Cash and cash equivalents
, beginning of period 54,577 47,788 48,910 35,987 Cash and cash equivalents
, end of period $52,111 $48,910 $52,111 $48,910
include money market securities, Treasury bills and short-term certificates of deposit.
The proxy for the bond market is the yield to maturity on 20-year bonds, and the proxy for cash equivalents
is the yield on three-month U.
NET INCREASE IN CASH AND CASH EQUIVALENTS 6,256 16,449
Investing activities are the acquisition and disposal of long-term assets and other investments that are not included in cash and cash equivalents
USA Technologies reported cash and cash equivalents
The first is when there are exchanges between cash and cash equivalents
The Company expects its total cash, including restricted cash and cash equivalents
, as of December 31, 2006, to be approximately $44 million.
The treatment of receivables as cash equivalents
In its December 18, 2006 press release, the company had stated that it would begin 2007 with a fully diluted share count of approximately 305 million shares based on the current stock price and would also anticipate beginning 2007 with over $250 million of cash, cash equivalents
and short-term investments if no further share repurchases were made during the fourth quarter.