Be able to evaluate the financial performance of a business

Be able to evaluate the financial performance of a business Assignment example
High school
Assignment
Finance & Accounting
Pages 7 (1757 words)
Download 0
Be Able to Evaluate the Financial Performance of a Business PART A: AC 4.1 Discuss the main financial statements: Different users of financial statements use these for varying purposes: Owners and Managers: They use financial statements to formulate significant business decisions that will affect the company’s operations. Besides they also rely on such financial statements to prepare their annual report to be presented to the board and shareholders…

Introduction

Investors often use financial analyses for making appropriate investment decisions. Financial Institutions: In order to arrive at suitable decisions regarding granting a company with extended debt securities like debentures or long-term bank loan, or new working capital etc, financial institutions will need to verify the financial statements of companies. Government Entities: They need to verify these statements to determine the correctness and accuracy of taxes and further duties stated and paid by a business. Such statements will also help them in ensuring that the company is operating within the framework of relevant statutes and are complying with all statutory obligations. Vendors: Financial statements help them evaluate the creditworthiness of the company so as to enable them to take appropriate decisions. Media and the General Public: Financial statement allows this interest group to evaluate the performance with respect to ethical trading, compliance of environmental spending etc. ...
Download paper
Not exactly what you need?

Related papers

Financial Performance Analysis of Fuller Smith and Turner Plc Group
It is of great significance that the ratios must be benchmarked against a standard in order for them to possess a meaning. Keeping that into account, the comparison is usually conducted between companies portraying same business and financial risks, between industries and between different time periods of the same company. The company under consideration is Fuller Smith and Turner Plc Group and in…
Financial Information for Business Decisions
Marks and Spencer’s well established business attracts a great deal of consumer base irrespective of demography. The company’s main business consists in selling fabric items and clothing for men, women and kids’. The company, by applying prudent marketing techniques, has been able to grab market share of around 11.0%2 by value and 11.2%3 by volume. Marks and Spencer has also been actively…
Evaluate Sainsbury plc's financial strategy
Being the crown of United Kingdom grocer retail stores, there has been a lot of endless speculation on its financial performance. In spite of these speculations, it has risen to be the leader for the last two decades. Sainsbury has relied heavily on equity capital to finance its operations in the recent past. The management consists of the contributors of the needed capital. Being a company based…
prepare an equity research report comparing the financial performance of your chosen retail company with the financial performan
Through prudent risk management and optimum allocation of resources and assets, the company has been able to withstand financial difficulties and turmoil and has been able to portray sound and stable financial outlook. Today the company now has over 900 stores worldwide which cater to wide demography of customers across the globe. The company was founded by the name of John David stores in 1981…
Financial Performance Of An Organization Over A Three Year Period: McDonald’s
8 Introduction This study is about the evaluation and analysis of the financial and business performance of the McDonald Corporation form 2010 to 2012. In the business performance, this study will explore the strength of the organization with a focus on its profitability and cash flow. In the evaluation of financial performance, we will be interested in how the organization utilizes and manages…
Financial Performance of Retail Banking in India
According to World Bank report of 2011, the value of the Indian economy is around $1.848 trillion, which can be considered as the tenth- major economy in terms of exchange rates (World Bank, 2013). However, the major challenge that the country faces is poverty. Though the country and its government has been successful in diminishing poverty from 55 percent in the year 1973, to around 27 percent in…
Analysing the Impact of Capital Structure on the Performance of UK Financial Institutions
The Miller-Modigliani Theory 15 2.4.3. Pecking Order Theory 16 2.4.4. The Agency Cost Theory 18 2.5. Potential Determinants of Capital Structure 19 2.6. Statement of the Problem 26 Chapter 3: Data and Methods 28 3.1. Research Methodology 28 3.2. Research Purpose and Research Approach 29 3.3. Qualitative Research 29 3.4. Quantitative Research 30 3.5. Primary Research 30 3.6. Secondary Research 31…