...fully describe these words (finance and accounting) as both have very wide meanings and applications in the business world. Most business has an aim to make profit and to remain solvent and the above two concepts play an important role in achieving this objective. This paper aims to answer the above questions and further goes on to say why both should and are considered a vital part of business and their importance in the whole business set up. Literature Review Accounting has been defined as the soul of the business (Collin P, 2004). Accounting is described as the means by which information is communicated in a firm, and is thus known as the language of business. Accounting is described as a vital function in preventing fraud and corporate corruptions in organisations (Glautier, M.W.E. and B. Underdown, Accounting theory and practice). Accounting is important as it provides information to external parties (stakeholders) by providing a true picture on the business financial position. Finance is described as an administrative function aimed at raising funds for the business (B.B Howard. Introduction to Business Finance). Finance is aimed to maximise the value of the firm and attain the main objectives of the firm; I. Shareholders wealth maximisation II. Profit maximisation This is achieved by determining the optimum capital structure and the efficient utilisation of resources by analysing risk and return (B. B Howard. Introduction to Business Finance). Findings and analysis ...
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...ENL213 ENGLISH FOR BUSINESS STUDY 2 JAN 2012 GROUP ASSIGNMENT CASE STUDY [SUPREMA CARS] YANG YUAN ZHONG I10006326 TONY WONG CHA CHIEN I11009191 LEE WAI HOE I11008687 GOH SU CHIN I11009206 Step 1 Summary of Case Study Suprema Cars is a marque that offers handmade classic English sports cars catering to people who want something different. Approximately 500 automobiles are fabricated annually in the company's plant in northern England. However, the company turned a loss in the previous biennial; which is resulted from declining sales and market share in the prior half decade. Factory workers' morale fell as they felt underpaid and treated unfairly. They objected to the management's decision to expand production, which will impair the quality of the cars, resulting in the escalation of malfunctioning automobiles in the last few months. Solutions available to curb the situation include tolerating lower profit margins, updating the plant, increasing manufacturing significantly, introducing in the United States, undertaking with a South East Asia engine manufacturer, devising green vehicles and obtaining capital plus skills from a European manufacturer. Step 2 Mind Map of Problems 1. Declining sales and profit Change in consumer preferences Insufficient advertising Low demand 1. Decreased reliability Increase in number of broken cars Substantial increase in production 2. O utdated design Change in demographics Younger generation Market wants more modern models ...
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...The Importance of Finance Masters in Business Administration The Importance of Finance The field of finance is broad and dynamic. It directly affects the lives of every person and every organization (Gitman, 2009). In recent years, the changing economic and regulatory environments have increased the importance and complexity of finance. Understanding business valuation is critical in business. Analyzing a business’s own value is as important as knowing about the business value of competitors. Business valuation requires both business mind and financial knowledge (Way, 2015). Economic development makes new requirements to enterprise financial management system improvement and development of proposals. The concepts of how you measure value and planning where you want to be in the future are very important. Although a lot of students are never going to be financial managers, a baseline level of knowledge raises the chance of making good decisions, because business managers with financial knowledge can better match available money resources with planned business operations that can generate enough revenue to cover both business expenses and financing costs (Way, 2015). This course is organized with an approach of reinforced coursework to keep the student even is nonfinance specialist in the tune with financial issues and concepts. The book, which been used in the course, is very detailed as well as consistent with the lectures and models. Managerial finance course...
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...Admission Office April 15, 2014 Dear Madams, Dear Sirs, I am honoured to apply for a place in the Master of Science Management with finance programme at your distinguished university because, as long as I can remember, I have had a passionate interest in Business. Since I was eleven, I have known I wanted to be a successful business advisor. As a child, I often accompanied my father to his company specialized in retailing of car accessories and equipment. Looking at those huge machines, collaborators working hand-in-hand to promote the functioning and results of the company, I was fascinated by this world. As I grew up, I progressively came to appreciate the importance of finance in the modern world. At university, I was fortunate to have been exposed to many interesting and challenging fields. I studied business, management, economics and marketing, although, I ultimately chose to major in Finance. These courses impressed upon me the importance of the financial sector in the economy. It is due to my understanding of the importance of finance and investment, coupled with my longstanding interest for this subject that I have decided to pursue postgraduate studies in finance at your prestigious university. I’m profoundly attached to the field of business and particularly to Finance and Marketing. I have studied very hard through the years at university to acquire strong theory bases. Specifically, the resources and expertise available in your university will...
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...Junior Cert Business Studies Topic: Business Finance Teaching Methods: Various Time: 40mins Ability: Mixed ability No. of Students: 16 Resources: Worksheet, YouTube. Visual aids have been promoted as an effective teaching tool by many educational theorists. Wilson (1967) stated that visual aids provide better understanding to the students and supports to the teachers for delivering lessons. As a teacher, I try to incorporate visual aids in to my lessons as much as possible because of their effectiveness. They can be used to introduce or conclude a topic, or simply to gain the students attention. The YouTube video I have decided to use for this assignment is one that will introduce the topic of Business Finance. At the beginning of the lesson, I will show the video to the class to give them an idea of the process behind obtaining finance for a start-up business. The video starts off by stating the difficulty that start-up companies have with raising finance and suggests alternative sources of finance that one could obtain. After this the video talks about preparing a business plan and the importance of credit. The video is essentially a three minute overview on how to finance a start-up organisation. Essentially, the video will be used to create a structure for the rest of the lesson. After watching the video, I can explain the different sources of finance that one can obtain and the complications that one will...
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...sources of finance available to Phan 3 1.2 The implications of the different sources of finance to Phan 4 1.3 Appropriate sources of finance for Phan 6 2.1 The costs of different sources of finance for Phan 7 2.2 The importance of financial planning to Phan 9 2.3 The information needs of different decision makers 10 2.4 The impact of finance on the financial statements to Phan 12 CONCLUSION REFERENCES INTRODUCTION Finance is one of the essential elements for the existence of every business. It is not only associated with the activities but also the resource for business to implement functions. Therefore, for a started business enterprise, effectively understanding the sources of finance will help Phan perform well and develop sustainably in the market today. This report is performed to evaluate the different sources of finance as well as providing information on the implication of finance as a resource in the business. 1.1 THE SOURCES OF FINANCE AVAILABLE TO PHAN In the current market mechanism with the increasingly fierce competitions, enterprises must continuously improve plant and equipment as well as modernizing technology. In order to achieve all these factors, the enterprises must have a large enough financial resources and use them effectively. It is believed that source of finance is a significantly important prerequisite for business process of the enterprise in general and of Phan in particular. The new business enterprise of Phan will need finance to purchase...
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...Question-1: What is finance? Ans: Finance is the life blood of every corporation. In the era of modern trade and commerce, business firm have to decide from where they will raise fund, where they will invest and how much of the profit will be distributed among the shareholders. “Finance” Came from Latin word “finis” means “dealing with the money”.finace is called the art and science of managing money. At the micro level, finance is the study of financial planning, asset management and fund raising for business and financial institutions. At the macro level, finance is the study of financial institution and financial markets and how they operate within the financial systems in both the domestic and global economics. Scholar’s view: “Finance consists of providing and utilizing the money, capital rights, credit and funds of any kind which are employed in the operation of an enterprise.” _George R Terry “Finance is concerned with the process, institutionsmarkets and instruments involved in the transfer of money among and between individuals, business and governments”. _Lawrence J Gitman From the above discussion, it can be said that finance is the process of financial planning, identification of sources of fund raising, investment of fund, protection of fund, distribution...
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...Finance in the healthcare industry can be a very tricky subject. The primary role of finance in the health services is to plan for, obtain, and make use of resources to increase the productivity and value of the business (Nowicki 2007). Finance is a very important part of the health care industry. It keeps everything on track and in order so that things operate successfully. Without the right person(s) helping to operate the place of business the company can be in a great deal of trouble. When I think of finance I think of cash. In today’s economy cash flow is at its all time low. More people are trying to cut cost and much as they can. This means less doctor visits and sometime not going to the doctor at all. Which means that if your health care business is use to seeing a certain amount of patients and that number suddenly stops that can put some jobs at jeopardy. The role of finance has increased in the healthcare industry. Like I stated previously cash flow is at an all time low. With the high demands of hospitals, long term care, nursing homes, special practices and assisted living, the need for healthcare and funding is growing daily. There is a different age group that is being more catered to due to the aging population around. Funding is necessary for all levels of healthcare organizations, and there are some governmental hospitals/facilities, non-profit, and privately funded that need to be aware of the fast paced changes that are being made financially in the world...
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...MANAGEMENT OF WORKING CAPITAL 1. Meaning and Types of Finance: Finance - Finance is the Art & Science of Managing Money - Finance is the Art of passing currency from hand to hand until it finally disappears Types & Sources of Finance ____________________________________________________________ ________ Long Term Sources of Finance - Finance required to meet Capital Expenditure - Also, known as Fixed Capital Finance Short Term Sources of Finance - Finance required to meet day-to-day Business requirements - Also, known as Working Capital Finance 2. Working Capital Management: Working Capital (WC) ____________________________________________________________ ____________________________ Basics regarding WC Meaning of WC Working Capital Concept Factors Affecting WC Meaning of WC Management Importance of WC Management Classification/Type of WC A On the Basis of Concept (i) (ii) Gross Working Capital Net Working Capital (Positive & Negative Working Capital) Methods of estimating WC Conventional Method Operating Cycle Method Cash Cost Method Balance Sheet Method B On the Basis of Periodicity (i) (ii) Fixed / Permanent Working Capital (Regular & Reserve Margin/ Cushion WC) Variable Working Capital (Seasonal & Special Working Capital) Parag Nalin Doshi 1/12/2009 www.CAalley.com Meaning of Working Capital: - Working Capital is the amount of Capital that a Business has available to meet the day-to-day cash requirements of its operations - Working...
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...UK COLLEGE OF BUSINESS AND COMPUTING Module Booklet Course: EDEXCEL BTEC (HND) BUSINESS Group: Ed excel Level 4 Module: Unit 2 – Managing Financial Resources & Decisions Module type: Core Module Code: H/601/0548 Module Credit: 15 Teaching Period: (15+6 weeks) Level: 4 (QCF) Contact Hours: (21*3 = 63) Lecturers: 15 weeks Support and guidance: 3 week Assessment and feedback: 3 weeks MODULE LEADER: MR GEORGE MUWONGE Lecturer: Mr Solomon A Odegbesan Start date: 28th January 2014 Day: Tuesday Time: 10:00-13:00 Campus: Park Royal Term: Winter CONTENTS 1. INTRODUCTION, AIMS AND OBJECTIVES 2. MODULE OUTLINE AND TEACHING METHODS 3. READING AND COURSE PREPRATION 4. LECTURE WITH DETAILED COURSE PROGRAMME AND OBJECTIVES 5. ASSESSMENT DETAILS INTRODUCTION This unit is designed to give learners a broad understanding of the sources and availability of finance for a business organisation. Learners will learn how to evaluate these different sources and compare how they are used. They will learn how financial information is recorded and how to...
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...UK COLLEGE OF BUSINESS AND COMPUTING Module Booklet Course: EDEXCEL BTEC (HND) BUSINESS Group: Ed excel Level 4 Module: Unit 2 – Managing Financial Resources & Decisions Module type: Core Module Code: H/601/0548 Module Credit: 15 Teaching Period: (15+6 weeks) Level: 4 (QCF) Contact Hours: (21*3 = 63) Lecturers: 15 weeks Support and guidance: 3 week Assessment and feedback: 3 weeks MODULE LEADER: MR GEORGE MUWONGE Lecturer: OLAJUMOKE TAIWO Start date: 30th September, 2014 Day: Mondays Time: 10:00 – 5:00 Hrs Campus: Kilburn Term: Winter CONTENTS 1. INTRODUCTION, AIMS AND OBJECTIVES 2. MODULE OUTLINE AND TEACHING METHODS 3. READING AND COURSE PREPRATION 4. LECTURE WITH DETAILED COURSE PROGRAMME AND OBJECTIVES 5. ASSESSMENT DETAILS INTRODUCTION This unit is designed to give learners a broad understanding of the sources and availability of finance for a business organisation. Learners will learn how to evaluate these different sources and compare how they are used. They will learn how financial information...
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...You have the opportunity to start a business based on UEA campus-what business will you start? Student number: 100072753 Submission date: 10/11/2014 Word account: 2000 1 Contents Cover sheet Contents ............................................................... 1 .................................................................... 2 Executive summary ................................................. 3 Introduction ............................................................. 4 Main body ……...................................................... 4 Conclusion and Recommendations ............................8 Bibliography .....................................................................9 2 Executive summary This report was described what business will you start based on UEA campus. This report shows that the store on UEA campus has several serious deficiencies affecting its development, but has some opportunities to develop to make up for the weaknesses. And the school shop in performance of the advantages and disadvantages, should pay attention to the issue of risk. Based on analysis, and the strength of the school shop, the report recommends: the relationship with the school shop and 4ps, and focus on the need of consumers. Following these recommendations, the school shop can be respected in school as well as more spare for development. To illustrate the store opened should be paid attention to in the...
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...| Edexcel HND in Business ManagementAssignment Front Cover Sheet | Please complete all areas of this form, sign, and attach to each submitted assignment. Submit each assignment according to the instructions provided in your Course Outline. A. STUDENT/S TO COMPLETE Course Name : HND in Business Management | Assignment No./Name: | Student Number: | Edexcel Registration No: | Student Full Name: | Tutor' Name: | Date Due: | Date Submitted: | DeclarationI declare that this assessment item is my own work, except where acknowledged, and has not been submitted for academic credit elsewhere, and acknowledge that the assessor of this item may, for the purpose of assessing this item: * Reproduce this assessment item and provide a copy to another member of the University and/or; * Communicate a copy of this assessment item to a plagiarism checking service (which may then retain a copy of the assessment item on its database for the purpose of future plagiarism checking).I certify that I have read and understood the Institute Rules in respect of Student Academic Misconduct. | | | | | | | Date | Student Signature | B. MARKER TO COMPLETE Comment : | Grade | | | | | | | | | | | | | | | Date | Marker’s Signature | | | IV’s Feedback | | | | | | | Date | IV’s Signature | Higher National Diploma in Business Management | Unit Title: Managing Financial Resources and Decisions | Assignment Title & Number:QCF-S1-A1-MFR...
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...MANAGEMENT OF WORKING CAPITAL 1. Meaning and Types of Finance: Finance - Finance is the Art & Science of Managing Money - Finance is the Art of passing currency from hand to hand until it finally disappears Types & Sources of Finance ____________________________________________________________________ Long Term Sources of Finance Short Term Sources of Finance - Finance required to meet Capital Expenditure - Also, known as Fixed Capital Finance - Finance required to meet day-to-day Business requirements - Also, known as Working Capital Finance 2. Working Capital Management: Working Capital (WC) ________________________________________________________________________________________ Basics regarding WC - Meaning of WC Working Capital Concept Factors Affecting WC Meaning of WC Management Importance of WC Management Classification/Type of WC A On the Basis of Concept (i) (ii) Gross Working Capital Net Working Capital (Positive & Negative Working Capital) Methods of estimating WC - Conventional Method Operating Cycle Method Cash Cost Method Balance Sheet Method B On the Basis of Periodicity (i) Fixed / Permanent Working Capital (Regular & Reserve Margin/ Cushion WC) (ii) Variable Working Capital (Seasonal & Special Working Capital) Parag Nalin Doshi 1/12/2009 www.CAalley.com Meaning of Working Capital: - Working Capital is the amount of Capital that a Business has available to meet the day-to-day cash requirements...
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...Investigating Finance Control | | | By: Harmol Sehmi 11H1 | | Contents Page 1. Front Page 2. Contents page 3. Introduction 4. Business Costs 5. Carrying on Business costs 6. Carrying on Business Costs 7. Cash flow forecasts 8. Financial documents 9. Carrying on financial documents 10. Carrying on financial documents 11. Managing business finances 12. Managing business finances Introduction In this assignment I will summarise the difference between start-up and running costs, which will include a table showing these. Along with, summarising the difference between fixed and variable costs which will also including a table showing these. I will then write a summary explaining the importance of the following: * Sales revenue * Calculating total revenue (unit sales price x number of units sold) * Gross and net profit * Maximising profits (increasing revenue and/or decreasing costs) Later I will then calculate the profit or loss for the first year, using the data in Project 3 and advise him as to how he can make his Business more profitable. Secondly, I will create a PowerPoint presentation showing the usefulness of break-even analysis. I will start by writing a detailed description of what is break even analysis and explain the reasons why break even analysis is important to a business. I will then construct a Break Even chart using the data given for Julian & Johns’ business. I will finish...
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