Exam practice

Exam Recap

Unit 7

Financial Forcast

• You are expected to discuss a range of financial forecast in the exam.

• Most student only calculated 1 or 2 financial data

• Most student did not provide any commentary about the data

• The most common financial data discussed was the following

• Net profit & Start up cost

Task

Open the Mock exam paper located in moodle under Past Exams & Case Studies. Open Past exam paper 2019

Read over the Financial Data section for option 1 and 2 and list all the Profitabilty and Liquiduty ratio that can be worked out!

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Open Ended

List what ratio and statistics you can work out from the financial data provided?

Financial data answer

• Start up cost

• Net Profit

• Net profit margin

• Gross Profit

• Gross profit margin

• ROCE

• Payback period

Task

Work out the all the financial for both of the option?

Start up Cost

Gross Profit

Net Profit

Gross Profit Margin

Net profit Margin

ROCE

Payback Period

Open Ended

What is the start up cost for option 1 & 2?

Open Ended

what are the gross profit for option 1 and 2?

Open Ended

What is the net profit for option 1 & 2?

Open Ended

what are the GPM, NPM, ROCE & Payback Period for option 1 & 2?

Open Ended

Write a commentary of which option is the the best option based on the financial data you have worked. Justify your answer providing a rational?