2.1 Financial Planning + Business Summaries

2.1Financial Planning1.Role of fiscal think?to furnish availability of funds and resources to suck patronage goals2.Strategic piece of financial planning?is the process of setting up objectives throughout the moving in organisation and decision making what resources pull up stakes be needed to pass on these objectives3.Financial management?has a strategic role in the intellect that this planning is drawn tramp in a dynamical environment-5 Objectives of Financial Planning1.Liquidity?ensures contrast can cover its short consideration debts2.Efficiency?to achieve lower cost by causeting great output from inputs such(prenominal) as outwear and machinery?lower costs that result from subjoind output from the same amount of input3.Growth?to increase the value of the business by expanding the business?example: acquisition, which is meant by buying another business? exploitation is needed to pass investors4.Return on capital?increase the descend from the use of reso urces such as land and labour5.Profitability?owner expects a competitive return in their investment from the risks they take?these theatrical role of returns ar called profitability-Planning cycle?refers to the continuous series of financial activities that take place in a business that ensures a business adapts to a changing environment1.Addressing the present financial position? relate with the judgment of the business?s financial resources, particularly its hard bullion flows?Cash flows is the movement of cash inflows and outflows of the business2.Determining the financial element of the business plan?Concerned with providing the resources needed to implement the plan3.

Developing budgets?Budgets provide particular proposition details for the plan?Shows where money bequeath come from and what it will be spent on4.Cash flows?Most definitive aspect of the planning cycle?It is the movement of cash inflows and outflows of the business5.Financial reports? similar reports that summarize the financial activities of the business that are prepared for stakeholders?These reports accept: balance sheet, revenue statement and statement of cash flows6.Interpretation? regularize reports are widely distributed reports?General reports need to be analysed to bump the requirements of the particular root of users?This can be typically... If you want to get a good essay, order it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper