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Theory Problems to be answered on the Breakeven and Theory worksheet. 1) The cash budget shows some negative balances. How would you avoid this? 4 marks 2) Based on the ratios

and common size calculations compare how Fanshawe Furniture is doing compared to the benchmark. Is it doing better or worse? Be specific. This is worth 16 marks which means you should be comparing 8 sets of numbers and explaining why the numbers are different and whether they are better or worse.

Fig: 1