• You work, or are planning to work, in or about an English-speaking business environment. • Your work brings you into regular contact with English-speaking business people. • You’ve planned to take a Business English exam such as BEC Vantage / Higher, TOEIC, or one of the LCCI (London Chamber of Business and Industry) International Qualifications, especially 2nd, 3rd or 4th level Business. • You don’t work directly in Business and Administration, but your job requires one to have a working knowledge of common business words and expressions.
100,in January 000. 20% of sales in virtually any month are cash sales, and 80% of sales are collected through the following month. Home to accommodate Distributors is planning a cash budget. The initial conclusion is that the firm will need to borrow additional money than its standard bank is ready to lend. Which of the following activities could Home to House Distributors perform to reduce its dependence on bank financing this season? The timing of selections from sales made in past months can be an important thought for cash budgeting. Depreciation expenditure is a deduction from cash flow in the money budget.
- You expected either income or a business benefit would come of the entertainment
- Search engine optimization (SEO)
- Online – Reputation
- 45% of small businesses use social media to market to potential customers
The percent-of-sales method is more detailed than the money budget method. Depreciation expenditure is always contained in the cash budget as the impact is shown by it of fixed asset buys. The money budget may be used to offer an estimate of the firm’s future financing needs. The money budget ignores discretionary financing. A budget is a forecast of future occasions.
Broad Cloth, Inc.’s average collection period is 15 times. 3 million for December. Compute cash collections for November and December. Assume that all months have thirty days. Broad Cloth, Inc.’s average collection period is 15 times. 3 million for December. Purchases identical 60% of sales and are made one month before budgeted sales. Month following the day of purchase Payments are created 1. Compute payments for purchases for the months of November and December. 1,500,000. This payment will be made in November. 1,800,000. This payment will be made in December. 15,in Dec 000 will be made. Using the info given, construct an expert forma income statement for the final quarter of 2014 for Parker.
The treasurer for Brookdale Clothing must decide how much money the business needs to borrow in July. 250,000 for July. The business has observed that 25% of its sales is perfect for cash which the rest of the 75% is collected in the next month. 400,000 of new clothing. Usually 40% of purchases is perfect for cash and the rest of the 60% of buys is paid in the next month.
50,000, how much cash must the business borrow in July? Objective: 17.3 Prepare a cash budget and utilize it to evaluate the total amount and timing of the firm’s short-term financing requirements. The ZYX Corporation is planning to request a line of credit from its standard bank and desires to calculate its cash needs for the month of September. Collection estimates were from the credit collection department the following: 20% collected within the month of sale; 70% gathered the first month following a sale; and 10% collected the next month following sale.
Payments for labor and recycleables are typically manufactured in the month in which these costs are incurred. Total labor and fresh material costs each month are 50% of sales. 20,per month 000. The corporation tax rate is 40%; however, no corporate and business fees are paid in September. Prepare a cash cover September.