Operating cash flow

1. Define a flexible budget. Provide an example of how a flexible budget is used in the real world. A flexible budget consists of adjusting expenditures according to the evolution of real incomes. So we get a budget with real results. The flexible budget is restructured according to activity levels, which is why it is a good performance evaluation tool and useful for any planning. Just like its good odds the flexible budget has its disadvantages as well. It may be a good tool but…

From an economic view, it is understandable why a person wants to go into business. The whole idea of going into business is to provide some form of product to society and to generate a platform of cash flow for the business and themselves. However, there are potential risk taken in every investment opportunity. A series of questions need to be considered and answered before processing includes if the risk is reasonable or not. Now, realizing that success is an important goal in everything…

INTRODUCTION 1.1 The concept of elasticity Elasticity is an economics concept that measures the responsiveness of one variable to changes in another variable. Suppose you drop two items from a second-floor balcony. The first item is a tennis ball. The second item is a brick. Which will bounce higher? Obviously, the tennis ball. We would say that the tennis ball has greater elasticity. Beggs (2017) wrote that elasticity can take a number of different forms, depending on what cause and effect…

1. State the Miller Modigliani (MM) dividend irrelevance proposition Modigliani and Miller (MM) proposed that in an ideally simple and perfect capital market, shareholders are indifferent between dividend and capital gains, and the value of a company is determined solely by the earning power of its assets and investments. Focuses more on firm value but not on firm risk. MM argued that if a company with investment opportunities decides to pay dividend, so that retained earnings are insufficient…

ratio is an amount that a shareholder pays annually. It measures how much money a company needs to run the mutual fund. JDMAX has a high expense ratio, which is 1.81. Anything over 1.5 is judged as high. This figure is decided by a calculation. Operating expenses are divided by the dollar value of its total market value or assets under management (AUM). The expense ratio is related to investment return because the more money given in fees correlates with the amount of money the investors get.…

Analysis of Profit of Sampling Units Table 6.6: Profit of Sampling Units Profit Kudumbashree M.E’s NGO M.E’s No Mean. SD No Mean. SD Below 20000 5 8800 748.33 1 20000 - 20000-40000 28 35143 6605.78 13 31308 15411.41 40000-60000 15 48067 5543.36 20 52750 5356.1 Above 60000 2 70000 5000 16 121563 15882.25 50 50 Source: Primary Data Table 6.6 portraits the profit generated by Kudumbashree and NGO’s assisted micro…

Debt can be a burden and an add-on stressor in a person’s life. If not managed properly, debt can accumulate over time and causes financial hardship in the future. Things like credits, student, auto, and home loans are some factors that can lead a person into debt because they are usually the largest financial obstacle to tackle and can take years to pay back. Though these are wonderful ideas to invest in, there are some events that can occur in one’s life that may result in losing control of…

sells farm and construction machinery. The three ratios that I believe are important in determining a company’s financial situation are the quick ratio, the inventory turnover ratio, and the net profit margin ratio. To find the quick ratio, we add cash, cash equivalents, short term investments and current receivables and divide them by the current liabilities. I found that the quick ratio is 1.86, we use this to find the companies liquidly position, which the company has $1.86 of liquid asset…

How might you apply what you learned about supply and demand to your workplace or your understanding of a real-world product with which you are familiar? From what I have learned about supply and demand, I may apply this concept in when deciding on what financial institution to bank with. In the event that Wells Fargo’s continue to practice unethical business practices, customers will shift to other financial institution such as Bank Of America which will reduce the demand for Wells Fargo…

The subject is a one story home built in 1950 in the Fairfax Station subdivision in Fairfax. It is vinyl with stone exterior wall, Average + 10 grade home sited on a 1.7022 acre lot. The appellant filed on the basis of error in property description, submitting three comparable homes to illustrate that the subject is undervalued compared to similar homes in the neighborhood. The appellant claimed that the subject property is unique (Custom) home and requested an increase in its current assessed…