Types of Forecast
A series of related budgets that provide a strategic plan for the next year. It is comprised of two classes of budgets
What is a Master Budget
COGS
What is the COST of Goods?
A financial report that summarizes the financial state of a business at a point in time
What is a Balance Sheet
ROA
What is Return on Assets?
Net Profit = Sales * Profit Ratio
What is the net sales Ratio
A financial budget that plans for and controls cash by identifying the expected cash inflows and outflows for the budget period
What is a Cash Budget
GPM
What is Gross Profit Margin
The decrease in the value of assets
What is Deperciation?
ROE
What is Return on Equity?
If net sales are $350,000 and my profit is 46,100 what is my profit Margin?
What is 13.17%
An operating or financial budget is revised on a regular basis.
What is a continuous budget
EBI
What is Earnings Before Intrest?
A company's book value is the sum of all the line items in the shareholders' equity section of a balance sheet.
What is a company's net worth?
The number of times a company replenishes its inventory.
What is Inventory Turnover?
What is the Equation for Operating Profit Margin?
What is (Operating Profit/Revenue) X 100?
Forecast that is based off one person's view.
What is Executive Insight
S&AE
What is Selling and Administration Expense
A statement, also known as a profit and loss statement.
What is an Income Statement?
The company has to buy 10 new cars for deliveries, what are these cars considered?
What is a fixed asset?
Net profit Revenue
What is (Net Profit/Sales) X 100
Qualitative and Quantitative
What are the 2 types of Forecasting
OP
What is Operating Profit
Its refers to the efficiency or ease with which an asset or security can be converted into ready cash.
What is Liquidity
An analysis is the process of evaluating past data to identify patterns.
What is a Trend Analysis?
Vertical or Horizontal
What is a Vertical or Horizontal Analysis?