Businesses need to make a profit. Profit provides capital for expansion and a return on their investment to the owners

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answerhappygod
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Businesses need to make a profit. Profit provides capital for expansion and a return on their investment to the owners

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Businesses need to make a profit. Profit provides capital for expansion and a return on their investment to the owners of the business. Do businesses also need to generate cash? Can a business be profitable and yet run out of cash? What is characteristic of a business that generates lots of profits but doesn't have enough cash to operate.
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