FINANCIAL objectives Flashcards
1
Q
what are the 6 financial objectives
A
profit
revenue
costs
return on investment
capital structure
cash flow
2
Q
importance of cash flow objectives
A
long cash cycles can cause time when the business has no money to operate.
3
Q
how to calculate ROI
A
opertaing profit/ capital invested x 100
4
Q
what is capital structure
A
way in which a business has raised the capital it requires to purchase its assets.