The Empirical Test In The Motivity Of Chinese Listed Companies Cash Balance

This article is the one research using empirical test in the motivity of Chinese listedcompanies` cash balance. The author hopes through the analysis of the statement of cash flowfrom 2000 to 2004, the present condition of Chinese listed companies` cash balance and thevalidity of operating cash flow in different profit margin level can be gotten.Thus,a moreobjective judgment method can be provided to the users of financial information.As a result of the research, at present, the majority of Chinese listed companies are in thekind of positive balance in cash condition, that is to say,their cash flow from operation activityis valid.Also,the profit ability and the validity of the cash flow from operation activity existscertain plus relevance, the better the ability of gain is,the more positive the cash balance is. Atlast,I hope the general information user can put the formula which is raised in this artical touse.