Budget Entries (Junior Cert Business Studies): Flashcards
📚Flashcards
Practise the cards
12 cards from this deck
ShowHide
Practise the cards
12 cards from this deck
Net cash definition
Net cash definition
Difference between expected income & planned expenditure
Net cash formula
Net cash formula
Total income - Total expenditure
Surplus in net cash means
Surplus in net cash means
Income > expenditure, money left over
Deficit in net cash means
Deficit in net cash means
Expenditure > income, need savings/borrow
How to show deficit in budget
How to show deficit in budget
In brackets, e.g., (€300)
Opening cash definition
Opening cash definition
Money at start of given period
Opening cash may include
Opening cash may include
Current account, cash savings, money from previous months
Closing cash definition
Closing cash definition
Money planned to have left at end of period
Closing cash formula
Closing cash formula
Net cash + Opening cash
Closing cash becomes what next period?
Closing cash becomes what next period?
Opening cash for next period
Net cash reveals whether you have
Net cash reveals whether you have
Financial surplus or deficit each month
Purpose of budget entries
Purpose of budget entries
Track financial position changes over time