ACC 333 Lecture Notes - Lecture 10: Retail, Cash Flow
3 Jan 2018
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Document Summary
Acc 340 financial management : the effective and efficient use of an entity(cid:495)s monetary resources to help it achieve its objectives. Business entity: a stand-alone economic organizational unit that acquires resources and financing for those resources and undertakes activities with the intention or expectation of an economic gain or profit. Organizing = involved obtaining critical resources, making sure there is solid supply. Directing = allocating resources to best uses. Organized to achieve three main things: mission satisfy need or needs of market, by providing something of value, by solving a problem or creating an opportunity, endure needs to survive, sustain and grow. If this fails, can"t achieve mission: generate rewards (for owners) may include intrinsic elements (satisfaction), always includes economic reward (increasing wealth of owners, measured in cash value) 3 business activities. Transaction direction (impact on cash flow and cash balance) Two sides to every transaction, and is of equal importance to both sides for it to occur.
