- 20 Marks
SCS – Nov 2019 – L3 – Q2a – Financial management
Analyze the financial performance of Ghanalux in 2018 and its effect on the bank overdraft.
Question
i) Analyze the financial performance of Ghanalux in 2018 to determine the extent to which the continuing large bank overdraft is attributable to profitability issues, cash flow management issues, or a combination of both.
ii) Prepare a forecasted cash flow statement for Ghanalux in 2019 to determine the likely bank balance or bank overdraft at the end of 2019. Assume the financial relationships and ratios are largely maintained from 2018 to 2019.
iii) iii) Recommend measures to improve the cash flow of the company.
(20 marks)
Find Related Questions by Tags, levels, etc.
- Tags: Cash flow improvement, Working Capital Management
- Level: Level 3
- Topic: Financial management
- Series: NOV 2019
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