Sept
Oct
Nov
Dec
£
£
£
£
-7,000
-9,000
2,000
11,000
Receipts
Income
40,000
45,000
43,000
47,000
TOTAL REVENUE
33,000
34,000
45,000
58,000
Payments
Rent
9,000
-
-
9,000
Wages
17,000
17,000
17,000
26,000
Overheads
11,000
10,000
12,000
13,000
Loan Repayments
5,000
5,000
5,000
5,000
TOTAL PAYMENTS
42.000
32,000
34,000
53,000
Closing balance
-9,000
2,000
11,000
5,000
a) Explain the opening balance? - Negative opening balance means the firm started september minue £7,000 eg.owed to bank.
b) Suggest one reason why the forecast for wages is expected to be higher in december? - Busy month for retail - may have been necessary to pay staff overtime or employ temporary staff. Perhaps bonuses are paid.
c) Suggest 2 items which could be included in overheads - Rent/rates and insurance
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