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In this method, approximation of various assets here excluding cash and including liabilities are made getting into consideration the transactions in the ensuring period. Afterward, a balance sheet is prepared that depends on these forecasts. Liabilities and Assets are termed as 'Projected balance sheet'. The dissimilarity between liabilities and assets of this balance sheet is termed as shortage or surplus cash of such period. If the net liability is more than net assets, this represents excess cash that is not needed by the firm. The management may plan for such investment. Conversely, if total assets are more than net liabilities, so it shows the deficiency of working capital that is to be arranged through the management either from bank overdraft or by the other sources.
Can someone do my case study for managerial accounting including writing a sales report?
Creditors turnover ratio ( or payables turnover ratio) Meaning: this ratio establishes a relation ship between net credit purchases and average trade creditors. Objective
Outline Five characteristics of relevant cost
Application of zero base budgeting In the following areas ZBB may be applied: 1) redundant schemes may be discontinued 2) identify the duplicate schemes and merge them in
The requirement for working capital fluctuates according the level of inventory, production, debtors and creditors etc. The working capital needs are not uniform during the year be
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