BMF II Unit 18 Budgets and Forecasting in Finance

A fiscal period consists of ...

• 12 months

• 2 months

• 12 years

• 24 months

The bank's balance sheet lists ...

• assets and liabilities

• assets and profits

• profits and liabilities

• assets and credit

A budget is/does NOT

• A primary method of communication

• Promotes efficiency

• A means to always a profitable company

• Control device

Who is responsible for the budget?

• Accountants

• Shareholders

• Investors

• Management

A business's liabilities total $87,420. Its assets amount to $105,390. What is the value of the owner's equity?

• $12,056

• $17,970

• $69,450

• $82,949

Which of the following is a way that businesses can use financial information:

• To identify trends

• To select selling strategies

• To conduct focus groups

• To create an economic system

Things a business Owes

• Assets

• Liabilities

• Owner's equity

The owner's share of a business

• Assets

• Liabilities

• Owner's equity

An example of an asset is

• Accounts payable

• cash

• investment

An example of an liabilitiy is

• accounts payable

• cash

• investment