Cash Flow Forecast (Junior Cert Business Studies): Quizzes
📚Quizzes
Practise the questions
12 questions from this quiz
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Practise the questions
12 questions from this quiz
What is a cash flow forecast?
What is a cash flow forecast?
A tool predicting future receipts & payments
Which of these is an example of a receipt?
Which of these is an example of a receipt?
Debtor payments
What type of payment includes rates, utilities and insurance?
What type of payment includes rates, utilities and insurance?
General expenses
Who are debtors?
Who are debtors?
Customers who owe money to the business
Who are creditors?
Who are creditors?
Suppliers owed money by the business
What is working capital?
What is working capital?
Money available for day-to-day operations
What does liquidity measure?
What does liquidity measure?
Ability to meet short-term debts
Which benefit does cash flow forecasting provide?
Which benefit does cash flow forecasting provide?
Highlights potential cash shortages early
How is net cash calculated?
How is net cash calculated?
Total receipts - Total payments
What happens to March's closing cash balance?
What happens to March's closing cash balance?
It becomes April's opening cash balance
How can a business use surplus cash?
How can a business use surplus cash?
Reinvest in growth or reduce debt
How can a business address a cash flow deficit?
How can a business address a cash flow deficit?
Arrange temporary financing or boost sales