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Define the term 'added value'.
Added value is the difference between the costs of purchasing raw materials and the price the finished goods are sold at. Value is added to a good at each stage of production from raw material to the finishe...
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Hadiqa Z.
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Business Studies tutor
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Evaluate the various methods of financing business
In order to answer this question, it is worth laying out the different methods of financing a business. These can be short term (overdraft, trade credit, factoring) or long term (share capital, loans from fr...
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Harry C.
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What is break even and why is it used?
Break even is the point in which total revenue and total costs ( fixed and variable) are the same. At this point no loss or profit is made, the company ' breaks even'. It is used by managers as a simple, qua...
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Emily P.
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Business Studies tutor
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What is cash flow?
Cash flow describes the movement of cash into and out of a business. The cash INFLOW is the money coming into a business, where as the cash OUTFLOW is the money flowing out of a business. Cash flow is not pr...
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James K.
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Business Studies tutor
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What is cash flow?
Cash flow describes the movement of cash into and out of a business. The cash INFLOW is the money coming into a business, where as the cash OUTFLOW is the money flowing out of a business. Cash flow is not pr...
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Robyn C.
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Business Studies tutor
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