Description Using the income and expenditure information provided, prepare a Profit and Loss Statement of “X” for the year ended 30th June 2001 and Balance Sheet as at that date. – Please ensure that you show all your workings to gain full marks. You may use template provided.
Comment on the performance of the business using ratio analysis, conduct a Cost and Revenue analysis and advise the company on ways of improving profitability and performance based on the information above and the result from 1 (above). (50 marks) – 1 200words Part 2 of the question requires you to address the following elements: Define costs (2 marks)
Identify and evaluate different types of costs incurred and their behaviour. (8 marks)
Define Ratios. (2 marks)
Ratios as a Performance Management tool including benchmarking factors. (8 marks)
State the 5 different classes of Ratios. (5 marks)
Define each Ratio and calculate as per given formulae and discuss influencing factors. (20 marks) – see appendix for formulae.
Give recommendations on how the company can improve performance. (5 marks)