Setting Financial Objectives

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A specific goal or target relating to the financial performance, resources and structure of a business
Financial Objective
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The difference between total revenues and total costs over a period
Profit
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The difference between total cash inflows and total cash outflows over a period
Cash flow
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Sales during the period
Revenue
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The difference between revenue and cost of sales
Gross profit
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Operating costs and expenses that are not directly related to producing the good or services are recorded here
Administration expenses
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A key measure of profit
Operating profit
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Usually set as a target % return, calculated by dividing operating profit by the amount of capital ivested
Return on investment
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Other cards in this set

Card 2

Front

The difference between total revenues and total costs over a period

Back

Profit

Card 3

Front

The difference between total cash inflows and total cash outflows over a period

Back

Preview of the front of card 3

Card 4

Front

Sales during the period

Back

Preview of the front of card 4

Card 5

Front

The difference between revenue and cost of sales

Back

Preview of the front of card 5
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