Financial Concepts Quiz

What is "Cash flow"?

• The total profit of a company

• The movement of cash in and out of a business

• The total revenue minus expenses

• The fixed costs of a business

How do you calculate "Profit/loss"?

• Revenue minus fixed costs

• Revenue minus variable costs

• Revenue minus total costs

• Revenue plus total costs

Which item is a cash inflow?

• Electricity

• Loans

• Wages

• Insurance

What is the formula for calculating Net Cash Flow?

• Cash inflows + Cash outflows

• Cash inflows / Cash outflows

• Cash inflows - Cash outflows

• Cash inflows * Cash outflows

If cash inflows are £250 and cash outflows are £100, what is the Net Cash Flow?

• £150

• £350

• £100

• £250

Which cost is subtracted from the selling price to find the contribution?

• Fixed Costs

• Variable Costs

• Total Costs

• Overhead Costs

How much is the manager’s salary in the example?

• £50

• £100

• £150

• £200

What is the output mentioned in the example?

• 100

• 200

• 300

• 400

What is the selling price used in the example provided?

• £10

• £20

• £5

• £15

Which statement is used to evaluate a company's ability to generate cash?

• Income Statement

• Statement of Financial Position

• Cash Flow Statement

• Cash Flow Forecast