Objectives/goals:
•   know the components of a feasibility plan
•   value the importance of participation and rigor during the process of development of a feasibility plan
•   evaluate investment possibilities and know the critical aspects of production and marketing
•   Have an essential tool for decision making, forming alliances and, in short, to seek the success of the projects from of real and relevant information
Description:
- Contextualization of financing decisions within the financial decisions of a company.
- Objective of financing decisions.
- Interrelation between investment decisions and financing decisions.
- Main financial decisions
Contents
• It is presented as a list of the expected expenses and income for a given period of time.
- An exhaustive list of the FIXED EXPENSES of the business must be developed, which are independent of the volume of activity (rent, fixed part of supplies, social security fees, salaries ...)
- Next, the VARIABLE EXPENSES are determined, closely linked to the activity (Example: manufacturing materials of the product, in which the quantity will be greater the greater the production, in service companies the cost of the hour of the personnel).
- It is advisable that a young company be charged as little as possible with fixed expenses and opt for a structure of variable costs depending on the volume of the business.
- None of the items of foreseeable operating expenses should be forgotten
-The provisions for depreciation of fixed assets should be included (provided that they are amortizable).
- The financial charges derived from external financing must be calculated (in case it should be used)
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Title:
Profit and loss account
Keywords
Money, Economic viability, Solvency, Liquidity profitability, solvency and liquidity economic viability profitability, solvency and liquidity economic
Author:
AE
Languages:
English
•   value the importance of participation and rigor during the process of development of a feasibility plan
•   evaluate investment possibilities and know the critical aspects of production and marketing
•   Have an essential tool for decision making, forming alliances and, in short, to seek the success of the projects from of real and relevant information
Description:
- Objective of financing decisions.
- Interrelation between investment decisions and financing decisions.
- Main financial decisions
• It is presented as a list of the expected expenses and income for a given period of time.
- An exhaustive list of the FIXED EXPENSES of the business must be developed, which are independent of the volume of activity (rent, fixed part of supplies, social security fees, salaries ...)
- Next, the VARIABLE EXPENSES are determined, closely linked to the activity (Example: manufacturing materials of the product, in which the quantity will be greater the greater the production, in service companies the cost of the hour of the personnel).
- It is advisable that a young company be charged as little as possible with fixed expenses and opt for a structure of variable costs depending on the volume of the business.
- None of the items of foreseeable operating expenses should be forgotten
-The provisions for depreciation of fixed assets should be included (provided that they are amortizable).
- The financial charges derived from external financing must be calculated (in case it should be used)