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1.5 Business Objectives and Stakeholder Objectives

February 1, 2021 No Comments

Table Of Contents 1.5.1 Businesses Can Have Several Objectives and the Importance of Them Can Change Need for business objectives and their importance Different business objectives Objectives of social enterprises 1.5.2 The Role of Stakeholder Groups Involved in Business Activity Main internal and external stakeholder groups Objectives of different stakeholder groups How these objectives might

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6.3 Business and the International Economy

January 23, 2021 No Comments

Table Of Contents 6.3.1 The Importance of Globalisation The concept of globalisation and the reasons for it Opportunities and threats of globalisation for businesses Why governments might introduce import tariffs and import quotas 6.3.2 Reasons for the Importance and Growth of Multinational Companies. (MNCs): Benefits to a business of becoming a multinational and the impact

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6.2 Environmental and Ethical Issues

January 15, 2021 No Comments

Table Of Contents 6.2.1 Environmental concerns and ethical issues as both opportunities and constraints for businesses: How business activity can impact on the environment  The concept of externalities: possible external costs and external benefits of business decisions. Sustainable development and how business activity can contribute  The role of legal controls over business activity affecting the

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6.1 Economic Issues

January 15, 2021 No Comments

Table Of Contents 6.1.1 Business Cycle Impact on businesses of changes in employment levels, inflation and gross domestic product (GDP) Main stages of the business cycle 6.1.2 How Government Control Over the Economy Affects Business Activity  Government economic objectives Impact of changes in taxes,  government spending and interest rates. How businesses might respond to these

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5.5 Analysis of Accounts

January 15, 2021 No Comments

Table Of Contents 5.5.1 Concept of Importance of Profitability The concept and importance of profitability  Return on Capital Employed (ROCE) 5.5.3 Liquidity Ratios The Concept and Importance of Liquidity Current Ratio Acid Test Ratio 5.5.4 Why and how accounts are used Needs of different users of accounts and ratio analysis How users of accounts and

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5.4 Statement of Financial Position

January 14, 2021 No Comments

Table Of Contents 5.4.1 Statement of Financial Position The main classifications of assets and liabilities 5.4.2 Interpret a Simple Statement of Financial Position  The statement of financial position and the idea of balancing assets and liabilities is a difficult concept. However, for IGCSE you don’t need an detailed understanding of how the Statement of Financial

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5.3 Income Statements

January 14, 2021 No Comments

Table Of Contents 5.3.1 What is Profit? Why is Profit Important? Importance of profit to private sector businesses Difference between profit and cash 5.3.2 Income Statements Main features of an income statement Unsurprisingly as profit or “the bottom line” is the ultimate objective of nearly all business activity, questions on calculating profit or evaluating the profitability

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5.2 Cash-Flow Forecasting and Working Capital

January 14, 2021 No Comments

Table Of Contents 5.2.1 The Importance of Cash and of Cash Flow Forecasting Why cash important to a business What is a cash-flow forecast? Amend or complete a simple cash-flow forecast How to interpret a simple cash-flow forecast How a short-term cash-flow problem might be overcome 5.2.2 The Concept and Importance of Working Capital Nearly

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5.1 Business Finance: Needs and Sources

January 14, 2021 No Comments

Table Of Contents 5.1.1 The Need for Finance The main reasons why businesses need finance Understanding the difference between short-term and long-term finance needs 5.1.2 Main Sources of Finance Internal sources and external sources Short-term and long-term sources with examples Alternative sources of capital The main factors considered in making the financial choice Recommend and

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