Finance Quiz

100 word minimum answer for each question. 10 finance questions in total.  1) What is the difference between net income and cash flow? In your discussion, include a discussion of what financial statements are used to report these measures. 2) What is financial accounting? How does it differ from managerial accounting? 3) Explain why cost management and cost allocation is important information for a healthcare manager? 4) Define variable cost and provide an example of a variable cost in a healthcare setting. 5) What is debt financing? Identify ONE advantage and ONE disadvantage of debt financing? 6) What is the difference between a current and a long-term liability? Provide an example of each in the healthcare sector. 7) Why is it important to hold some liquid and some illiquid assets? 8) Discuss the formula used for a ratio to measure leverage or capital structure? What exactly does this ratio measure? 9) What is a flexible budget, how does it vary from a fixed budget? 10) Compare and contrast zero-based versus incremental budgeting?

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