A Day in The Life

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BUSINESS

A DAY IN Resources for Courses

THE LIFE
Teacher Instructions
A day in the life is an excellent activity that can be used to introduce the concept of cash flow
and cash flow forecasting. It introduces the concept in an engaging way whilst developing and
building students quantitative skills.
The activity involves telling the class a story of a ‘typical’ day involving money coming in and
money going out. There are a number of activities which can be used with this idea/ resource
and the activity can be used to introduce the concept of cash flow and cash flow forecasting or
as a consolidation activity.
Teaching and Learning Strategy 1
1 The teacher reads out the ‘Day in the Life’ story
2 Students need to work out how much money is left at the end of the day
3 The teacher may need to go back through the story again to ensure that the students have
picked up the key points.
Teaching and Learning Strategy 2
As above however the students (or some students) are given a template to complete to help
them structure their response.
Teaching and Learning Strategy 3
This is an extension activity. For this activity give students the completed cash flow forecast on
page 3 (the answer sheet). Ask students to amend the cash flow forecast assuming the following:
• The full £50 is received from the friend
• The jeans are paid for on a credit card
After this has been completed a discussion
could also take place about the longer term
consequences of using a credit card to
make the purchase.
a day in the life Resources for Courses

It’s Saturday morning.


I get up, have breakfast, get
showered and get ready to go out.
I have £70 cash in my pocket. I arrange to meet a friend of mine in town who owes me £50.
I leave the house to catch a bus into town, stopping at my local newsagents to buy a bottle of Diet
Coke and a newspaper costing a total of £1.70.
The bus into town costs me £1.
When I get into town I go straight to M&S to return an item of clothing which I bought for £50.
I receive the refund in cash.
On the way out of M&S I buy a sandwich for £3.
After leaving M&S I head off to Next to return another item that I bought the week before. The item
cost £30 and I again receive a cash refund.
After leaving Next I go to meet my friend, passing HMV. I decide to go in and have a quick look
around. Whilst I am in there I buy two CD’s and a DVD which cost me £35.
I leave HMV to meet my friend. He doesn’t have the full £50 to give me but gives me £30 instead.
My friend wants to look in some clothes shops. Whilst I am in one of the shops I buy a pair of
Jeans costing £80. I pay cash.
After shopping for clothes we call into a cafe for some lunch. Lunch costs £30 which we split
between us. We both leave a £2 tip.
After lunch I call into Tesco metro to buy some ‘essential’ supplies spending £15 in cash.
After leaving Tesco I go into WHSmith to buy a magazine which costs £5, however, I remember
that I have a 10% off voucher which I give to the assistant on the checkout. I pay for
this with cash.
I then go to catch my bus home buying a £0.50p evening
newspaper on the way. The bus costs me £1.
After I get off the bus I go back into my local
newsagents to buy a lottery ticket which costs
£2. I then walk home. When I get home I empty
the cash in my pockets onto the table.

How much cash do I have?


a day in the life

Student Template
Cash In £

Total Cash In

Cash Out

Total Cash Out

Net Cash Flow (Cash in – Cash Out)

Opening Balance (Cash in Pocket)


Closing Balance (Cash on the table)
a day in the life

Answer Sheet
Cash In £

Cash refund from M&S 50


Cash refund from next 30
Cash from friend 30

Total Cash In 110

Cash Out

Diet Coke and Paper 1.7


Bus into town 1
Sandwich from M&S 3
CD’s and DVD from HMV 35
Jeans 80
Lunch (plus tip) 17
Tesco essential supplies 15
Magazine (10% off voucher) 4.50
Evening newspaper 0.5
Bus 1
Lottery ticket 2

Total Cash Out 160.70

Net Cash Flow (Cash in – Cash Out) (50.70)

Opening Balance (Cash in Pocket) 70


Closing Balance (Cash on the table) 19.3
a day in the life

Extension Activity answer sheet


Cash In £

Cash refund from M&S 50


Cash refund from next 30
Cash from friend 50

Total Cash In 130

Cash Out

Diet Coke and Paper 1.7


Bus into town 1
Sandwich from M&S 3
CD’s and DVD from HMV 35
Lunch (plus tip) 17
Tesco essential supplies 15
Magazine (10% off voucher) 4.50
Evening newspaper 0.5
Bus 1
Lottery ticket 2

Total Cash Out 80.70

Net Cash Flow (Cash in – Cash Out) 49.30

Opening Balance (Cash in Pocket) 70


Closing Balance (Cash on the table) 119.3

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