A business to survive must have tight screws, working parts and a sturdy foundation. Rankin’s Hardware and Building is a local hardware shop that is currently falling apart and is in need of some serious work. Rebecca Hunter investigates which parts of the business needs to be fixed. Continue reading to find out ways you can build your business into a better place…
Financial administration is being responsible for the monetary aspects of a business. It is important to monitor the incoming and outgoing funds of the business. These reposts get sent to stakeholders, such as; employees, employers, suppliers, financial institutions, insurance companies, superannuation funds and government. The three objectives of financial administration are; to create wealth for the business, generate cash and provide an adequate return on investment bearing in mind the risks that the business is taking and the resources invested. There are 4 financial control areas; cash, debtors, inventory and equipment. …show more content…
It is easily stolen and therefore must be accurately recorded and accounted for. An example of where cash has been stolen was when Gregory John Dedman a former director and head winemaker of Vintage Services stole over $13000 from the business. He was able to do this as he was one of the few people in the business who had access to the financial records and could therefore easily steal money. He used $8949 to pay for dinners, groceries and alchohol. He spent $72.50 for a personal post box, $215 for personal fuel, taxi and parking expenses and $1266 to buy personal computer equipment. To account for this major loss the business has to sell equipment or else the business may have to close their
Financial administration is being responsible for the monetary aspects of a business. It is important to monitor the incoming and outgoing funds of the business. These reposts get sent to stakeholders, such as; employees, employers, suppliers, financial institutions, insurance companies, superannuation funds and government. The three objectives of financial administration are; to create wealth for the business, generate cash and provide an adequate return on investment bearing in mind the risks that the business is taking and the resources invested. There are 4 financial control areas; cash, debtors, inventory and equipment. …show more content…
It is easily stolen and therefore must be accurately recorded and accounted for. An example of where cash has been stolen was when Gregory John Dedman a former director and head winemaker of Vintage Services stole over $13000 from the business. He was able to do this as he was one of the few people in the business who had access to the financial records and could therefore easily steal money. He used $8949 to pay for dinners, groceries and alchohol. He spent $72.50 for a personal post box, $215 for personal fuel, taxi and parking expenses and $1266 to buy personal computer equipment. To account for this major loss the business has to sell equipment or else the business may have to close their