BEC中级unit 3b Cash flow

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Unit 3b Cash Flow

BEC

Agenda News review Quiz Terms Cash flow statement (inflows and outflows) Balance sheet: an overview Quick Computer’s dilemma and how to find a way out Role play/Discussion

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Terms concerning CF Credit sales赊帐销售 Collection policy/collection period 收款期 Tighten credit policy 收紧赊帐 Loosen credit policy 放宽赊帐 Cash receipt 现金收讫 Cash disbursement 现金支出 Day-to-day operation 日常营运 CF from operating activities经营活动产生的现金流量 CF from investing activities投资活动产生的现金流量 CF from financing activities筹资活动产生的现金流量 CF/income (sales)/net income/profit Capital expenditure 资本开支 Depreciation 折旧

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(sales) turnover营业额 early settlement discount 提前付款折扣 labor cost 劳动力成本 credit terms 信用期限 outstanding 剩余的 outstanding balance 剩余金额 remainder 剩余物 a shortage of cash 现金短缺 average monthly turnover 平均月营业额 financing cost 融资成本 cash on delivery 货到付款 pay in 3 installments 分期付款(三次) credit sales 赊帐 margin/profit margin 利润 order books 订货本 penalty 处罚 inventory 库存

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Inflows and outflows of a businessCash inflows 现金流入 Sales 销售 Profit from investment 投资收益 Debts/loans 贷款 Assets sales 资产处置 Subsidies from Gov.政 府补贴 Liquidation 资产清算 Etc. Cash outflows 现金流出 (working capital周转资金) Wages 薪酬 Expenditure (expenses) 开支 Inventory 库存 Investment 投资 Taxes 税收 Payment of debt 还贷 Dividends payment 股息 派发

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An example of cash flow statementDescription Cash flow from operations 经营活动现金流 Sales (paid in cash)销售 Materials 原材料 Labor 人工 Cash flow from financing 筹资活动现金流 Incoming loan 贷款 Loan repayment 还贷 Taxes 税收 Cash flow from investments 投资活动现金流 Purchased capital 商业购入 Total -10 40 50 -5 -5 -10 30 -10 -10 40 Amount ($) totals ($) 10

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Operational cash flows经营活动现金流 Operational cash flows: Cash received or expended as a result of the company‘s internal business activities. It includes cash earnings plus changes to working capital. Over the medium term this must be net positive if the company is to remain solvent 偿债能力.

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Investment cash flows投资活动现金流 Investment cash flows: Cash received from the sale of long-life assets, or spent on capital expenditure (investments, acquisitions and long-life assets)资本支出.

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Financing cash flows筹资活动现金流 Financing cash flows: Cash received from the issue of debt and equity发行债券和股 票首发/增发, or paid out as pidends股息/ 红利, share repurchases增持 or debt repayments.

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Sample Small Business Balance Sheet资产负债

表Assets Cash Accounts Receivable应收款项 资产 6600 6200

Liabilities &Owners‘ Equity Owners 负责及所有者权益 Liabilities Notes Payable Accounts Payable负债 应付票据 应付款项 30000 30000

Tools and equipment

25000

Total liabilitiesOwners' equity Capital Stock所有者权益

股本 留存收益

7000 800 7800 37800

Retained Earnings

Total owners' equityTotal37800

Total

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Balance sheet: Current assets 流动资产Period Ending Assets Current Assets Cash And Cash Equivalents Short Term Investments Net Receivables Inventory Other Current Assets 1,275,430 2,015,655 1,003,362 300,325 2,292,296 1,159,691 1,203,581 89,930 1,513,930 487,544 1,055,532 180,716 31-Dec-09 31-Dec-08 31-Dec-07

Total Current Assets

4,594,772

4,745,498

3,237,722

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Balance sheet: Current liabilities 流动负债Current Liabilities Accounts Payable Short/Current Long Term Debt Other Current Liabilities 1,306,584 1,073,469 1,182,350

-

-

749,628

411,144

631,546

368,470

Total Current Liabilities

1,717,728

1,705,015

2,300,448

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Balance sheet: Long term assetsLong Term Investments Property Plant and Equipment Goodwill Intangible Assets Accumulated Amortization Other Assets Deferred Long Term Asset Charges 4,723,207 1,426,862 3,640,373 355,883 194,933 3,372,488 1,536,181 3,440,889 485,860 72,111 36,821

固定资产2,542,915 1,331,632 4,002,030 611,497 503,945 -

Total Assets

14,936,030

13,689,848

12,229,741

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Balance sheet: Long term liabilities长期负债 Long Term Debt Other Liabilities Deferred Long Term Liability Charges Minority Interest Negative Goodwill83,021 616,645 25,316 77,062 352,275 286,535 18,019 28,086 356,122 12,254 -

Total Liabilities

2,442,710

2,438,906

2,696,910

BEC

Balance sheet: shareholders’ equity所有者权益Stockholders' Equity Misc Stocks Options Warrants Redeemable Preferred Stock Preferred Stock Common Stock Retained Earnings Treasury Stock Capital Surplus Other Stockholder Equity 1,410 1,599,638 1,595 4,848,162 1,527 4,423,864

(117,331) (5,267,484) (5,160,772) 10,640,367 11,548,393 369,236 120,276 9,937,010 331,202

Total Stockholder Equity

12,493,320 11,250,942

9,532,831

BEC

Key ratios concerning solvency Solvency, in finance or business, is the degree to which the current assets of an inpidual or entity exceed the current liabilities of that inpidual or entity.偿债能力 Current ratio= Current assets/Current liabilities 流动比率 A current ratio of assets to liabilities of 2:1 is usually considered to be acceptable. Quick ratio=(current assets-inventories)/current liabilities 速动比率 Quick ratio, also known as "acid-test ratio“, measures a company's ability to meet its short-term obligations with its most liquid assets. A quick ratio of 1 to 1 or better is usually satisfactory.