Business Finance Basics (B)
Understand what is the Balance Sheet, Profit & Loss statement, Cash Flow Statement, Inventory handling, management of payables and receivables...
Posted: Apr 2009
Whether you are working in a small or a big company, or you have the intention to run such a company one day, you will have to face with financial terms and procedures. Even if your position is non-financial, you will be meeting finance terms in your daily job.
Understanding business finance basics is the crucial for understanding the overall business and your role within. The finance basics case study is spread across the following chapters. Each one of them explains certain aspect of business finance.
Starting the Business explains what is initial financial statement, what is the initial balance sheet and what is the difference between investor and the Company.
The Basic Links explains what are the basic financial links and what does the profit & loss statement shows.
Understanding Cash and Profit shows more on what is Customer Credit and what are Accounts Receivable.
Delaying Cash Payments tries to explain what is Supplier's Credit Credit and what are Accounts Receivable.
Period Costs section is explaining what are period costs and what are fixed and variable costs?
Holding Inventory explains what is Product Inventory and how is booked in Balance Sheet.
Loan Financing tells what is Loan financing and what is the Loan principal.
Write Offs explains what are write offs of damaged or obsolete product.
Production Ventures shows what are production ventures, what are fixed assets and what is Depreciation.
Accounting for Inventory explains what are methods of inventory value accounting.
Business Profitability finally shows what are measures of business profitability.