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unit 5- decision making for finance
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What is the operating formula?
What is the operating formula?
gross profit - operating costs
What is the net cash flow?
What is the net cash flow?
inflows - outflows
What are outflows?
What are outflows?
cash going out of the business
What are some medium-term sources of finance?
What are some medium-term sources of finance?
-bank loan
-leasing
-hire purchase
-government grants
What is favourable variance?
What is favourable variance?
when the actual figure is better than expected when compared to the budget
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