Types of debt finance?
Mortgage, Debentures and over - draft
Financial Statements?
Balance sheets, cash flow statements and income statement
All 4 Legal structures?
Sole - trader, Partnership, Private company and Public company
3 establishment options?
Buying a Business, Starting a new business and buying an already existing franchise
Types of investments?
Shares, government bonds and term deposits.
Reasons for change in share price?
More people want to buy shares, demand + supply of shares and people want to sell their shares.
Legal regulations impacting the businesses?
WH&S, consumer laws and tax
What are two types of returns that an investor can earn from shares?
dividends and captial gain
Difference between primary and secondary markets on the asx?
Primary: 1st time, prospectus, business
Secondary: Shares resold to other investors, seller not the business receives funds from the sales
difference between unincorporated and incorporated entities?
Unincorporated: Unlimited liability and not seperate from owners
Incorporated: Limited liability and seperate from owners
difference between gross and net profit?
other expenses
difference between debt and equity?
debt is the money that we borrow instead of issuing equity. Equity is raising the capital by selling ownership shares.
difference between assets and liabilities?
assets are items of values of the business, liabilities are funds borrowed to purchase assets.
difference between income statements and balance sheets?
Income statements are the financial position your in and balance sheets is your financial performance.
