Articles on the importance and usage areas of cash flow forecast

This thesis study consists of three articles on cash flow estimation. Through these articles, it is intended to shed light on the uses of the cash flow forecast. In the first article, it is aimed to determine whether cash flows or earnings are stronger in predicting future cash flows. Empirical analyzes were carried out with the OLS regression method. Findings show that accrual-based earnings predict future cash flows better. In addition, it seen that when as the operating cycle time of the firms increased, the quality of cash flow forecasting has been decreased. In the second article, it has been aimed to create a Cash Flow Based Bankruptcy Forecasting Model by using the cash flow table information in estimating financial failure. In this section, empirical studies have been carried out with logistic regression analysis. The Cash Flow Based Bankruptcy Forecasting Model proposed for financial failure have detected the bankrupt firms successfully 3 years ago. In addition, the proposed model has been compared with the Altman Z-Score and Ohlson O-Score models. According to the findings, it has been determined that the Cash Flow Based Bankruptcy Forecasting Model has reached similar results with the Ohlson O-Score model, while has given the better results from the Altman Z-Score model. The third article has been purposed to analyze the sensitivity between investments and cash flow volatility in businesses in the BIST XUTUM Index. In this way, It has been tested the validities of Minton and Schrand's (1999) ampirical results in our country. Panel data analysis method was used to detect sensitivity analysis. According to the findings, the relationship between investments and cash flow volatility in the research period and universe is statistically significant and negative. By the additional analysis, have been examined the impact of businesses' cash assets on investment cash flow volatility sentiment. According to the results of additional analysis, cash assets were found to be effective in determining this level of relationship in the post-global economic crisis period.