UGBA 10 Lecture Notes - Lecture 4: Gross Profit, Earnings Before Interest And Taxes, Asset Turnover

• School: Berkeley
• Department: Business Administration Undergraduate Program
• Course: UGBA 10
• Professor: John Briginshaw

Document Summary

Expense (cost) of cheese sold = x 70% = . Revenue from sales = cost + markup = + x100% = . Income = revenue - expenses = . Cash inflow (february) = 0 (customers pay in march) Cash outflow (february) = 100 to suppliers. Net cash flow = 0 - 1000 = -. Asset that can or will be converted into cash within a year. Ease with which an asset can be converted into cash. Asset with long-term use or value, such as land, buildings, and equipment. Accounting method for distributing the cost of an asset over its useful life. Debt that must be paid within one year. Debt that is not due within one year. Current liability consisting of bills owed to suppliers. Earnings retained by a firm for its use rather than paid out as dividends. Non physical asset, such as a patent or trademark, that has economic value in the form of expected benefit.