1. Why do we bother with break-even analysis? A business is formed to earn profit, not to just make a loss( e.g. break-even). Discuss.

2 Would you expect the operating profit margin to be higher or lower than the gross profit margin? What's a good operating profit margin?

3 Describe some limitations of the analysis of financial statements. Provide suggested remedies for each of the limitations cited.

4 The statement of financial performance (income statement) is a flow statement and the statement of financial position (balance sheet) is a Explain three connections between both financial statements.

5 The junior accountant asks his manager Why is internal control over cash so critical? Explain.

A maximum 50 words for each question