BSBFIM601 Manage finances Manage finances: Name three accounting software packages. What are some of the reasons why businesses make profits & losses? What are the steps when creating a business...

Manage Finances:
1.) Name three accounting software packages.
Solution: Xero, Quickbooks, Wave Accounting
2.) What are some of the reasons why businesses make profits & losses?
Solution: Motive of the businesses are always to earn a profit. However, due to sometime, on account of certain reasons, it makes losses. Some of which are flawed business model, inefficient marketing, decline in the demand of goods, bad accounting, inefficient management decision etc.
3.) What are the steps when creating a business plan & why ate timelines so important?
Solution:
The key to the success of a business is planning, setting goals and tracking progress. An essential part of your business plan is developing a timeline (or even several timelines or milestone charts for each section).
Your beginning up timetable records all the assignments expected to get your business working and to proceed with business for the initial two years. To a limited extent, it incorporates your examination of the bearing your business will go into and projections for deals, however it additionally incorporates an exact image of where your business is at the present time. The enticement when building up your timetable is to offer the most idealistic picture conceivable, not really the most sensible. Your course of events needs to mirror your ability to achieve the timetable. Whatever else is probably going to raise warnings with possible speculators or loan bosses.
Your course of events ought to include:
Lawful techniques – documenting papers of consolidation, organization, and so on
Discovering office or assembling space
Desires for innovative work
Item advancement
Getting every important permit and allows
Buy or rent of gear
Employing of staff
Acquisition of materials
Start date for advertising exercises
Opening date for business
4.) What is meant by a “tax liability”? Why are cash flow statements vital to a business?
Solution:
Tax Liability is the aggregate sum of expense obligation owed by an individual, enterprise, or other substance to a burdening authority.
The CFS is significant on the grounds that it educates the peruser regarding the business money position. For a business to be effective, it must have adequate money consistently. It needs money to pay its costs, to pay bank credits, to settle charges and to buy new resources. An income report decides if a business has enough money to do precisely this.
Having money is a key prerequisite for a business to remain dissolvable. At the point when a business has not, at this point enough money to satisfy its obligations, it is regularly pronounced bankrupt.
5.) Why is comparing previous financial reports so important?
Pattern Analysis: One of the greatest focal points of looking at budget reports after some time is finding patterns and examining the discoveries.
Execution Evaluation: Financial proclamations permit chiefs to measure execution on an authoritative and departmental level. By assessing the rate increment or diminishing of costs and deals, business pioneers can quantify working execution and change their systems.
Bookkeeping Discrepancies: Comparing several years' budgetary reports additionally assists with recognizing blunders, exclusions or purposeful distorting in fiscal summaries.
6.) How is income tax calculated?
Income tax is calculated on the basis of tax slab. Your taxable income is worked out after making relevant deductions, other taxes that you may have already paid (Advance Tax) and tax deducted at source (TDS), the resultant taxable income will be taxed at the slab rate that is applicable.
7.) How would you estimate the volume & sales value of a new product within the business?
One of the initial phases in...