This title introduces you to the exciting and most important world
of basic business finance. The text endeavours to answer questions
such as: How do I interpret the figures on a balance sheet and an
income statement? What is the meaning of the concepts 'capital',
'income' and 'profit'? How do we know if the business is covering
all its costs? What do we mean by the fundamental financial concept
'the time value of money'? The answers to all of these questions
will ultimately affect the long-term survival and success of your
business. In endeavouring to answer these questions the text covers
either chapters, each commencing with learning outcomes to be
addressed in that chapter. The aim of this title is to equip you
with the knowledge of basic business finance principles and the
skills required to practise these principles in your own business.
Basic Business Finance follows an outcomes-based approach and is
suitable for use either directly in your business or in any basic
course on the principles of business finance. Each chapter
concludes with self-test questions. After studying this title you
should be able to - Interpret the financial effects of daily
business activities; identify and source the capital requirements
for ongoing and new business ventures; undertake break-even
analysis in order to ensure the long-term profitability of the
enterprise; compile a financial plan in the form of budgets to
evaluate whether goals are being achieved; successfully manage
cash, credit and inventories; calculate tax liability and apply
insurance cover to your enterprise.
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