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Explain the Difference between cash and profit
Cash flow statement shows all the cash in and cash out for the organisation for that period. It demonstrates the cash generating ability of the organisation. Income statement on the other hand shows profitability of the business during that period. Income statement is prepared using the accruals concept. This is where revenue and expenses are recognised in the period that they are incurred and not in the period the cash is received or paid. That's why you have a difference between profit andcash.
Margin Trading: Suppose an investor wants to buy 100 Reliance Energy shares, whose market price is Rs.500. This transaction requires Rs.50,000 but the investor has only Rs.30,0
Q. Location of lifting anchors in precast concrete units? It is desirable that position of anchors be located symmetrical to the centre of gravity of precast concrete units. Or
Performance of Mutual Funds The performance of Mutual Funds can be evaluated by calculating the rate of return earned during the relevant comparison period. The return will inc
Bennis Shafts produces three types of golf club shafts which it sells to golf club manufacturers. Prepare ONE worksheet to answer the following questions and to determine the outc
application of the operating cycle to a vegetable company
Question : (a) A project must have a useful purpose. Therefore, as a project is evaluated, the team should determine the requirements of the local community and industry. These
Degree of Operating Leverage A measure of the firm's operating leverage, which is calculated as the contribution margin distributed by income before taxes. A rigid with a high
Traded investments The term traded investment refers to the buy of an investment asset which is traded in the financial markets. Instance includes government and ordinary share
Diversification A strategy which tends to move into new products and new markets in which organisation is unfamiliar with. Related for example vertical forwar
What is the matching principle of working capital financing? What are the advantages of following this principle? The matching principle is while short-term financing is employe
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