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Solutions for Chapter 5: Business Arithmetic
Below listed, you can find solutions for Chapter 5 of CBSE CBSE for Entrepreneurship Class 12.
CBSE solutions for Entrepreneurship Class 12 5 Business Arithmetic Very short answer (exceed 15 words) [Page 208]
Explain the following term with proper example:
SKU
Explain the following term with proper example:
Cash flow
Explain the following term with proper example:
Cash inflow
Explain the following term with proper example:
Cash outflow
Explain the following term with proper example:
Re-order point
Explain the following term with proper example:
Cash flow projection
Explain the following term with proper example:
Cash conversion cycle
Explain the following term with proper example:
Pareto’s Law formed the basis for a technique. Name it.
CBSE solutions for Entrepreneurship Class 12 5 Business Arithmetic Short answer (exceed 30 words) [Page 208]
What is ABC analysis?
What is Pareto’s Principle?
Differentiate between cash flow projection and cash flow statement.
What is financial management? What is the main objective of financial management?
CBSE solutions for Entrepreneurship Class 12 5 Business Arithmetic Short answer (exceed 75 words) [Page 208]
There are three key elements in the process of financial management. Explain them.
What are the key aspects of financial decision-making?
What is a budget? What are the essentials of a budget?
Explain Inventory Control and state its objectives.
CBSE solutions for Entrepreneurship Class 12 5 Business Arithmetic Long answer (exceed 250 words) [Page 208]
What is a budgeting process?
There is a Budget to suit every business and its need. Elucidate.
Explain the two dominant forms of budgeting process.
. What is working capital? What is the need for a working capital?
CBSE solutions for Entrepreneurship Class 12 5 Business Arithmetic High Order Thinking Skills [Page 208]
Calculate working capital of Raja & Co. has the following items in its Balance sheet: Stock — 50,000; Trade creditors – 32,000; Debtors – 75000; Cash -1,00000; Dividend payable – 50,000; Tax – 44,000; Short term loan – 61,000; Short term investments – 76,000. Calculate gross and net working capital.
Ramu is buying and selling ice-cream.Explain his working capital requirement.
Solutions for 5: Business Arithmetic

CBSE solutions for Entrepreneurship Class 12 chapter 5 - Business Arithmetic
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Concepts covered in Entrepreneurship Class 12 chapter 5 Business Arithmetic are Budgeting and Managing the Finances, Working Capital, Inventory Control and Economic Order Quantity, Return on Investment and Equity, Concept of Unit Price, Break Even Analysis, Cash Flow Projection.
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