In a cashflow forecast table,

Net cash flow =

• total inflows + total outflows

• total inflows - total outflows

• total inflows x total outflows

• total inflows / total outflows

The opening balance for January 2021=

• total inflows - total outflows for January 2021

• the closing balance from February 2021

• the closing balance from December 2021

• the closing balance from December 2020

unit contribution =

• selling price x variable cost per unit

• selling price + variable cost per unit

• selling price / variable cost per unit

• selling price - variable cost per unit

Fixed costs = £ 8000 per month, unit contribution = 4, therefore :

• breakeven = 32000 units

• breakeven = 2000 units

• breakeven = 8000 units

• breakeven = 4000 units

Budgeted costs were £2500,

Actual costs were £ 2300,

therefore :

• the cost variance is adverse

• the cost variance is favourable

• the cost variance is £4800

The numbers needed to calculate profit ratios are in the :

• Statement of Financial Position

• Statement of Consolidated Income

• Cashflow forecast

Liquidity topic :

Current assets = £ 3600

Current liabilities = £ 1800

therefore :

• current ratio = 5.4

• current ratio = 0.5

• current ratio = 2

• current ratio = 1.8

Sales revenue = £ 15000

Cost of sales = £ 9000

The gross profit margin =

• 60%

• 40%

• 167%

• 67%

Liquidity topic :

Acid test ratio =

• (current assets - inventory) / current liabilities

• current assets / current liabilities

• current liabilities - inventory / current assets

The numbers needed to do both liquidity ratios are shown in the Statement of

• Consolidated Income

• Financial Position

• Cashflow Forecast