DP Business Management Questionbank

Refer to Afghan Sun case study SL/HL P1 May and Nov 2018.

With reference to Table 2, describe two advantages for Su of using a cash-flow forecast.

Using Table 2, calculate the net cash flow (Z) for PI for 2019 (show all your working).

Explain the difference between profit and cash flow. 

Discuss whether LB should implement proposal 1 or proposal 2.

Prepare a cash flow forecast for Las Migas for the first four months of operations.

Using the financial information in Table 1, evaluate two strategies that CM could use to improve its financial position other than changing to a just-in-time (JIT) stock control method.

Using the information in Table 1, construct a fully labelled cash flow forecast for MV for the first six months of 2021.

Define the term working capital cycle.

Prepare a monthly cash flow forecast for BB for the first four months of operation.

Explain one strategy that BB could use to significantly improve its forecasted cash flow for January 2021.

Using Table 1 suggest one reason why SF may have a liquidity problem.

Explain one method MM could use to improve its liquidity.

With reference to Option 1, for KT, explain the relationship between the product life cycle, investment, profit and cash flow.

Explain strategies MM could use to improve cash flow in its palladium mine in South Africa (Table 1).

Using Table 4, calculate WC’s net cash flow for 2022 (show all your working).

Explain the difference between WC’s profit and its cash flow.