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WorksheetsCashflow
Total questions: 25
Worksheet time: 13mins
Which TWO of the following are the correct terms for the cash that a business has at the start of the month?
Balance carried forward
Balance brought forward
Opening Balance
Total Cash Available
Which TWO of the following are the correct terms for the cash a business has at the end of the month?
Closing balance
Cash outflows
Net cash flow
Balance carried forward
How do you calculate net cash flow?
Balance brought forward + Cash Inflows
Inflows - Outflows
Total cash available - cash outflows
None of the above
How do you calculate total cash available?
Inflows - Outflows
Net cash flow - outflows
Balance brought forward + cash inflows
Balance brought forward - cash inflows
Cash flow forecasts can show two of the following...
Whether a business will make a profit
Whether a business has sufficient cash to meet their debt obligations
Whether a business will be able to repay a loan
Whether a business has enough shareholders
Buying too many fixed assets drains cash, a possible solution is
Never renting
Increasing production
Reducing production
Leasing and renting
When does a business experience cash flow problems?
When outflows are greater than inflows
When inflows are greater than outflows
Which of these are methods that could be used to improve cash flow.
Reducing costs by buying from a different supplier.
Increasing its revenue by slightly raising its prices.
Selling off some fixed assets.
Paying back all of the refunds it owes customers
Expanding into a new range of products.
What is the impact on break even from a decrease in sales?
The margin of safety increases
The margin of safety decreases
The break-even point falls
The break-even point rises
What would be the impact on break-even from an increase in price
The margin of safety increases
The margin of safety decreases
The break-even point falls
The break-even point rises
Net Cashflow =
Income - Expense
Asset - Liability
Expense - Income
Liability - Asset
