January 2023

Business Studies: Working Capital

By |2022-09-15T12:33:44+02:00January 24th, 2023|Notes, O Level Business Studies Notes, Ordinary Level Notes|

ZIMSEC O Level Business Studies Notes: Business Finance and Accounting: Working Capital

  • Refers to the capital of the business that is used for the day to day running of the business
  • Put simply it is the cash available for day-to-day operations of an organization
  • Strictly speaking though working capital is more than just cash
  • It includes all the assets […]
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Business Studies: Gearing ratios

By |2022-09-15T12:33:43+02:00January 24th, 2023|Notes, O Level Business Studies Notes, Ordinary Level Notes|

ZIMSEC O Level Business Studies Notes: Business Finance and Accounting: Ratio Analysis:Gearing ratios

  • Gearing refers to the extent to which a business’s assets are financed using debt capital versus equity capital
  • Remember the balance sheet equation:
  • Assets = Capital (Equity) + Liabilities (Debt)
  • What this means is that all assets are purchased using either equity or debt finance
  • Equity […]
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