Business 7115 · O Level · Cash-flow forecasting and working capital

Cash-flow forecasting and working capital — practice question

The Government is enlarging public sector health care provision, including dental clinics (see Appendix 1).
(a)[8]

Identify and explain two external benefits that the rest of society gains from this higher level of health care provision for poor families.

(b(i))[4]

Use the cash flow forecast in Appendix 3. Calculate the values for W, X, Y and Z.

(b(ii))[8]

Think about two methods that could improve cash flow. Recommend the best method for Rosa and Eduardo to strengthen the cash flow in the second half of 2016. Justify your answer.

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