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kobusy [5.1K]
3 years ago
8

Overview of financial planning

Business
1 answer:
VMariaS [17]3 years ago
6 0

Answer:

1. Operating plan.

2. Operating plan.

3. Financial plan.

4. Dividend policy.

5. B and C.

Explanation:

1. Operating plan: provides detailed implementation guidance for a firm's operations, as well as a forecast of the company's expected future free cash flows.

2. Operating plan: provides the inputs necessary for a risk management evaluation using sensitivity analysis, scenario analysis, or simulations.

3. Financial plan: Is based on knowledge of the amount of funds necessary to compensate the firm's shareholders, and the mix of debt and equity capital used to finance the firm.

4. Dividend policy: sets forth specific targets for cash or share distributions to the firm's shareholders.

Capital structure: describes specific targets for the mix of debt and equity used to finance a firm.

Financial planning can be defined as the process of estimating the amount of capital required for the smooth operations of the business and determine how to achieve the firm's set goals and objectives.

Hence, the following statements are true about financial planning;

I. Once a firm's forecasted financial statements are prepared, the firm must determine how much capital it will need to support these plans.

II. Management must monitor operations after implementing a financial plan to detect deviations from the plan and adjust accordingly.

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Answer:

Target heart rate.

Explanation:

Target heart rate is a term that refers to the minimum amount of heartbeats per given amount of time that is needed in order to reach the level of exertion that is necessary for fitness.

It is different for different people because it is calculated by subtracting one's age from 220. For instance, to get the average number of maximum heartbeats per minute during an exercise, an individual of 30 years will subtract 30 from 220 to get a maximum heart rate of 190. This is therefore the maximum number of times that the person's heart should beat per minute.

Target heart rate is important because it helps people to get the most benefit from their exercise routine.

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From tax returns, the Internal Revenue Service (IRS) has information concerning Elizabeth Jones. Generally, the IRS may not divu
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n economy’s GDP falls, then it must be the case that the economy’s a. income and saving fall. b. income and market value of all
Norma-Jean [14]

Answer: If an economy's gross domestic product falls(GDP), it must be the case that the economy's income and saving falls.

Explanation:

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When there is a fall in a country's gross domestic product, there will have been a fall on the country's income and savings. A lower income will bring about a reduction in the gross domestic product. Since higher income leads to higher savings and lower income is also proportional to lower savings, it therefore follows that a reduction in gross domestic product will be as a result of fall in income and savings.

4 0
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Read 2 more answers
a company is selling used office quipment for $12000 they purchased it 2 years ago for $50000 what is the gain or loss on the sa
Debora [2.8K]

Answer:

( B ) -$18,000

Explanation:

Calculation for the gain or loss on the sale

First step is to calculate for the depreciation of equipment

Depreciation of equipment = ($50,000 - 0) / 5

Depreciation of equipment= $10,00 per year

Second step is to find the value of the asset after 2 years

Value of asset after two year = $50,000 - $20,000

Value of asset after two year Value= $30,000

Third step is to calculate the loss on the selling asset

Loss on selling asset = $12,000 - $30,000

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Therefore the loss on the sale will be - $18,000

7 0
3 years ago
Assume that the company is interested in dramatically expanding its operations and that this expansion will require significant
uranmaximum [27]

Answer:

It should maintain the same per share dividend.

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If you keep a constant per share dividend, for example, $1 per share, as the price of the shares increases, the payout ratio will start to decrease. This means that the company's retention rate will increase and it will have more money to invest in future projects. The company needs funds and it can save it (as retained earnings), borrow it (as debt) or issue equity. The options are limited.

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