SITXFIN003 - Manage finances within a budget

11.What do the following terms mean?

• Financial viability

• Profitability
• Liquidity

12.List three main methods businesses use to increase their profits.

13.List two ways you can promote awareness of the importance of budget control.

14.How does promoting the importance of budget control help you achieve team or work area goals?

15.What are two questions you should be asking when assessing existing costs and resources?

16.Explain how the features of accounting software programs can assist you to manage budgets.

17.What is one benefit of using computerised systems to maintain financial records?

18.There are four basic types of expenses you record in financial documents to ensure accurate monitoring. Describe and give one example for each type.

• Fixed costs

• Variable costs

• Direct costs

• Indirect costs