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Cash Flow Forecast Exam Questions

1. AZ Ltd

(a) AZ Ltd is a new manufacturing business. It has prepared a cash flow forecast that includes items such as its
new premises, and the equipment and materials required to make their products. Use the table below to indicate
whether these items…

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(e) The finance director used a manual system to prepare the cash flow forecast. Discuss two advantages and
two disadvantages of using a computer to prepare financial documents such as cash flow forecasts.
Advantage.....................................................................................................................
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Advantage.....................................................................................................................
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Disadvantage..................................................................................................................
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Disadvantage..................................................................................................................
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[Total: 22]…

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ReceiptsPayments 300 300 100 250 500
Opening Balance 500
Closing Balance
(b) If the bank manager is willing to lend Engelmann's some money over the next six months, state the amount
that Max may need to borrow.

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(c) Should Max be concerned for the future of the store? Use…

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