Formulas

2. Business costs that change with output, such as raw materials
4. Business failure due to unpaid debts
8. The money leaving a business that it spends on raw materials, labour and other expenses
10. The original amount borrowed when given a loan.
11. When a bank account is allowed by the bank to go into the negative. It is short term borrowing from the bank that usually has to be repaid quickly or face very high penalty payments.
12. The money that comes into a business from sales and other sources
13. Sources of money from outside of a business
14. The money that flows into and out of a business from sales and expenses
15. The amount of money in a bank account at the end of the month.
17. When a business sells its land, buildings, machinery or equipment that are no longer needed to raise finance
18. The difference between the money a business has coming in during the month (e.g. from sales) and the money going out to pay expenses (e.g. bills, wages)
20. The initial money that is needed to start a business that is normally linked to purchases of machinery and premesis
22. An opening balance is the amount in an account at the start of the month.
24. source of finance normally for small businesses with good growth prospects, where the venture capitalist takes ownership of some of the business e.g. dragon's den
25. Short-term finance is used to help a business maintain a positive cash flow.

1. Finance raised through internet appeals from a large number of small investors
3. The money raised by a business from the sale of shares of ownership of the business. This does not need to be repaid, but profits will need to be shared with shareholders.
5. The prediction of how much money will come into and out of a business over a future time period
6. Finance that is for large purchases that help the business start or grow and will be used as a source of funding for more than 1 year.
7. When a business orders and receives supplies, but pays for them at a later date
9. An owner of a company who receives a dividend as a return for their investment
16. Where a business obtains funds from its own sources such as retained profits
19. Money a business keeps after it has paid all its expenses. Instead of giving the profit to the owners or shareholders, the business keeps it to use for things like growth, paying off debts, or saving for the future.
21. The share of the profit received by a shareholder
23. Source of finance for a business where they receive a fixed amount of money for a specified time,which will need repayment with interest.