Develop a report to make financial decisions based on financial information and evaluates the financial performance of a business. The report must be written in professional manner and properly referenced. The report should comply with the word count of 1500 with +/- 10% margin. You may use tables and diagrams to support your report to illustrate the text. Word count excludes the index, headings, information contained in tables, references and bibliography.
Task (LO 3:3.1, 3.2, 3.3, LO 4:4.1,4.2,4.3) M2, M3, D2
You need to analyse a suitable budget period at least six months and comment on performance and the behaviour over that that period .Also comment on what action should have been taken.
You need to give the formula and explain the link between unit costs and selling price decisions using
relevant example. Also explain the importance of information on fixed cost, variable cost and break
even point. In addition, assess and evaluate the viability of a project using different investment
appraisal techniques to ensure project is properly funded and it will be profitable.
You need to discuss the main financial statements by explaining what they contain, their purposes
And who makes use of them. Describe and compare the formats (structure, content, detail) of main financial statements for different types of business.
Analyse three consecutive years of financial statements of your chosen organisation by using
appropriate ratios and comparisons , (both internal and external)
To achieve M2, apply range of methods and techniques and justify the methods and techniques to make financial decisions based on financial information and evaluate the financial performance of a business.
To achieve M3, you need to demonstrate coherent and logical development of principles and concepts and use appropriate structure and approach to make financial decisions based on financial information and evaluate the financial performance of a business.
To achieve D2, manage activities through properly planning and organizing to make financial decisions based on financial information and evaluate the financial performance of a business.