Date of calculations: [insert date of calculations] Current ratio Formula Calculation Result Result from previous month/year % movement Current assets ÷ Current liabilities If the ratio falls below 1.0, the firm has insufficient current assets to pay off its current liabilities when they fall due. Compare this result to the previous current ratio result. If the current ratio is deteriorating and falling close to 1.0, calculate the other ratios to help better understand why the firm is running out of money. WIP days Formula Calculation Result Result from previous month/year % movement WIP

Cash and profitability ratio calculations Current ratio Formula Calculation Result Result from previous month/year % movement Current assets ÷ Current liabilities 764,400 ÷ 534,200 1.43 1.39 2.88% If the ratio falls below 1.0, the firm has insufficient current assets to pay off its current liabilities when they fall due. Compare this result to the previous current ratio result. If the current ratio is deteriorating and falling close to 1.0, calculate the other ratios to help better understand why the firm is running out of money. WIP days ratio Formula Calculation Result Result from previous month/year % movement WIP at end

A type of money purchase arrangement. An arrangement is a cash balance arrangement where the member will be provided with money purchase benefits, but where the amount that will be available to provide those benefits is not calculated purely by reference to payments made under the arrangement by or on behalf of the member.

What is a cash balance scheme? At its simplest level, a cash balance pension scheme is an arrangement by which the member builds up a guaranteed cash sum or amount during their pensionable service, which will be made available for the provision of retirement benefits. When a member comes to retire this cash sum is then applied to buy an annuity (or provide other retirement benefits) on whatever terms can be secured in the market at that time. Such an arrangement can be seen as combining some of the features of a defined benefit (DB) arrangement with some features of a defined contribution (DC) arrangement. This is significant for how the risks inherent in any pension arrangement are allocated between the member and the sponsoring employer, as examined in this Note. Benefit structures There are different types of cash balance schemes but they fall broadly into two categories based upon how the cash sum at retirement is derived: • the first is where the cash sum is determined by reference to the member’s

[TO BE TYPED ON COMPANY HEADED PAPER] [insert date] [insert name of employee] [insert address] Dear [insert name] The [insert name of company] Bonus Scheme I am delighted to notify you that you have been selected to participate in the [insert name of company] Bonus Scheme (the ‘Scheme’). Under the Scheme, you will be eligible to receive a bonus payment which is linked to the profits of [insert name of company] (the ‘Company’) for the 12-month period ending [insert date] (the ‘Bonus Year’). The circumstances in which any bonus may be paid to you are set out in the Schedule to this letter (the ‘Schedule’). After the end of the Bonus Year, the Board of the Company will determine that a proportion of the Company’s profits for the Bonus Year will be allocated in paying bonuses to Scheme participants who have remained employees of the group (and are not on notice of cessation of employment). Each of these participants will then be notified of the value of their resulting bonus, which will be calculated as a percentage

A share for share exchange for the purposes of the Companies Act 2006 (CA 2006), falling under the exception to pre-emption rights for an issue where the consideration is non-cash consideration. Under a cash box placing, a SPV is incorporated as a subsidiary of the buyer. An investment bank subscribes for the SPV’s preference shares, providing the SPV with cash. The investment bank funds the subscription price for the SPV’s preference shares out of the proceeds of a placing of equity securities of the buyer (the placees paying the offer price into an account set up for and on behalf of the investment bank). The buyer then allots and issues shares to these placees in consideration of the transfer of the preference shares in the SPV (whose asset is the cash from the placing) from the investment bank (CA 2006, ss 561 and 565).

Under Rules 2.7(d) and 24.8, when an offer is made in cash or includes an element of cash, the document'>offer document must include confirmation by an appropriate third party (usually the offeror’s financial adviser) that resources are available to the offeror sufficient to satisfy full acceptance of the offer.

The amount which a member of an occupational pension scheme may require to be applied as a transfer payment to another permitted pension scheme or to a buy-out policy (as per section 94 of the Pension Schemes Act 1993).

Cash equivalent; previously known as the CETV (cash equivalent transfer value).

Cash equivalent benefits when pension in payment.

Where a member’s benefits are to be transferred, they can be calculated as a CETV in accordance with a prescribed method (this is usually the minimum amount the trustees can offer).

Cash flow is regarded by many as the ultimate test of financial health. Seasoned analysts do not entirely trust the figure a company puts on its profits, since profits can be ‘massaged’, whereas cash is more difficult to manipulate. Profit, as they say, is a matter of opinion. Cash is a matter of fact. The best way to check the cash flow position of a company is to scrutinise the cash flow statement in its annual report and accounts. It provides fact on whether a company has generated or consumed cash in the year, and how. It can be used in conjunction with the P&L to assess the trading results, or it can be used in conjunction with the balance sheet to assess liquidity, solvency and financial flexibility.