Finance Flashcards
Why do businesses need financial objectives?
financial objectives are a way to measure a business’ performance
What would the financial objective of a new business be?
To simply survive
What would the financial objective of a established business be?
Go from break even, to making a certain profit or market share.
How are financial objectives used by stakeholders?
Stakeholders will see where the issues are to prioritise its strategies to improve the situation.
judge whether targets will be met
When comparing financial comparisons what needs to be taken care of?
Are assets valued the same
Has depreciation and appreciation been taken into account
Financial results are just quantitative
What factors should you note when setting objectives?
page 179-180
How can financial objectives and data be used by stakeholders?
page 179-180
What will setting clear objectives allow businesses or stakeholders to do?
page 179-180
Why do you need to liaise with different departments?
page 179-180
Why does “window dressing take place”?
page 179-180
