1 / 11

Topics Covered

Topics Covered. Business Costs Revenue Profit Expenditure Break Even Analysis Budgeting Cash Flow Forecast Profit & Loss Balance Sheet Maximising Profits. UNIT TITLE: Unit 2:Finance for Business LESSON TITLE: Balance Sheet LEARNING AIM: C. COMPETENCY FOCUS:

pringled
Télécharger la présentation

Topics Covered

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Topics Covered • Business Costs • Revenue • Profit • Expenditure • Break Even Analysis • Budgeting • Cash Flow Forecast • Profit & Loss • Balance Sheet • Maximising Profits

  2. UNIT TITLE:Unit 2:Finance for Business LESSON TITLE: Balance Sheet LEARNING AIM: C COMPETENCY FOCUS: Key Skills (L5): you will be able to develop your numeracy skills to calculate financial transactions of a business and to interpret financial data. Learning Objectives By the end of the lesson, you should be able to… LO1) To describe the purpose of a balance sheet LO2) To complete a balance sheet from information provided LO3) To analyse financial statements for a small business and suggest appropriate actions that the business can take to succeed.

  3. I can recognise the layout of the Balance Sheet, input data correctly and explain what the figures show:

  4. What is a Balance Sheet? • A balance sheet records where the business got its money from and what it has done with it. The two balance out exactly! • It shows the value of all assets and capital on a particular date (last day of financial year – 31st March)

  5. Assets: All of the premises, machinery, equipment, stocks and cash owned by the business at a given time. Liabilities: The debts of the business Equity: The amount invested in the business.

  6. Fixed Assets Vs Current Assets Fixed Assets: Assets that are owned and are expected to be kept for more than 1 year or many years. Current Assets: Assets that can be converted in to cash more easily and are only retained for less than 1 year. These are listed in order of liquidity (easiest to convert in to cash)

  7. Current Liabilities Current liabilities are bills the firm has to pay soon (within 1 year) Included in current liabilities are: -creditors (money owed to suppliers for stock) - Corporation tax (to Government) - Unpaid dividends to shareholders

  8. Current Assets Net Current Assets(working capital) = Current Assets – Current Liabilities Net assets (what the company is worth) = Net current assets + fixed assets

  9. TASK 1 Complete ‘Big Tasty Burger’ Case Study [40mins]

  10. TASK 2 Complete ‘The Biscuit Factory’ Case Study [40mins]

  11. TASK 3 Use the revision guidance notes to produce your own revision notes ready for the exam! [40mins]

More Related