Statement by Glenn Stevens, Governor: Monetary Policy Decision
At its meeting today, the Board decided to leave the cash rate unchanged at 2.5 per cent.
Growth in the global economy was a bit below trend in 2013, but there are reasonable prospects of a pick-up this year. The United States economy, while affected by adverse weather, continue...
•Ask your accountant which key performance indicators you should be monitoring in your business.
•Experiment with ‘what if’ scenarios to improve your business planning and working capital management.
Please note that this is a guide only and should neither replace competent advice, nor be taken...
What can I use the balance sheet for?
The balance sheet also contains information and figures you can use to measure the health and profitability of your business. These are called key performance indicators. Some examples of these indicators or ratios include:
•Return on capital employed is net profit (before tax) as a p...
What’s a balance sheet?
A balance sheet or ‘statement of financial position’ paints a picture of your business’s financial strength at the end of an accounting period.
The big difference between a profit and loss statement and balance sheet is that a profit and loss statement winds back to zero at the end ...
Use your profit margins to benchmark your business
You can use your gross and net profit margins as benchmarks to gain a clearer picture of your performance in two ways:
Compare your profit margins to previous periods to see where your selling prices are coming under pressure or costs are increasing.