M3:- Interpret the contents of a trading and profit and loss account and balance sheet for a selected company explaining how accounting ratios can be used to monitor the financial performance of the organisation
Turnover is the money that the business got from selling goods and services, £63,850,000 which is good because it’s higher than the less sales returns which is £250,000, so even if you take away the money of the less sales returns from the turnover you will still have £63,600,000 which is a good amount.
Cost of good sold is the direct cost of selling and making the product which is £36,000,000 and the expenses is the cost that you need to pay for and which is indirect, the cost of expenses is £13,350,000. Expenses are lower than the COGS.
Gross profit is the money that is left over after paying producing cost of good sold and which is £27,600. Gross profit margin tells you how well you are holding your profit. After calculating the ratio I have found out of every £100 of sales, the business makes £43.30 profit. To find out if its better, you either compare it with the last year’s ratio or with another business in same industry.
Net profit is the money that is left over after removing the costs and expenses, that is what the business keep, which is £11,325,000. The Net profit margin shows me how much does the business gets from every £100. Net profit margin is very useful when it’s comparing companies in same industry. You can see the percentage and how well you are doing in the business.
Return on capital employed (ROCE) shows the measures of return that a business is achieving from capital employed. ROCE should always be higher than the rate of which the company borrows because any increase in borrowing will lower shareholders’ earning, which can cause problem for the business. So a good ROCE is the one that is greater than the rate of the company’s capital cost. It shows how well the business has employed its capital.
The difference between GPM, NPM
Money Exercise Mikelle Rittenhouse The core belief that I have about money and wealth is that money is the root of happiness. Now don’t get me wrong I don’t think it’s the only way to be happy there are other factors that support your happiness but having money is one of the important factors to happiness. I think that money is of course very important for people to live a decent and satisfying life. Money is important in order to get clothes and food and shelter. Many people think money is the root…
The Love of Money While searching the Internet for current events to write on, I found one that caught my eye. On KOAT, I read an article called "Amazon CEO gives $2.5M for same-sex marriage". This CEO is a straight married male, and he and he and his wife decided to make this huge donation together. This donation of $2.5M went toward a referendum that will take place in November, to determine whether or not to legalize same sex marriage.$2.5M is lot of money to give away, but in my opinion…
The Money Diet Emilie Schartner English Comp 105 Mrs. Meikle May 11, 2015 People today are struggling to lose weight on their own. They are resorting to pharmaceutical diet aids and weight loss programs in an attempt to see that “magic number” on the scale. This demand to lose weight has spawned a multibillion dollar diet program industry, along with creating various pharmaceutical diet pills. However, all weight loss strategies are after the same goal: …
Athalia Santoso Money Log #1 Heather Severson Thursday, April 4, 2015 Mistakes that I have made with money I was only in junior high school at that time. I was doing some random searches on the internet when some adds popped out. One of them said “Congratulation you’re selected to buy “the thing” with 95% off”; it made me so happy since I really wanted “the thing” at that time. I made my purchase, it did worked and said that I would receive my thing on the following week, but unfortunately it never…
Rashard Dodson Professor John Van Dyke ENC-1101 October 24, 2014 YOU’VE STILL GOT AN EXTRA SPACE HERE. Money Matters The idea of living the “American Dream”: getting an education, working hard at a job, having a family, and living comfortably, are images that many people strive for. It’s been embedded in our minds since we were little children that the key to happiness is having a formal/college I DON’T THINK THE / IS NECESSARY. education. Obtaining this education would unlock doors that will…
kaylan williams Ms.Daniels/writing essay/Money Hungry July 7, 2014 By : Sharon G. Flake Published date : 2001 The genre : realistic fiction MONEY HUNGRY Money never hurt anyone ! The book was mostly about how Raspberry and her mother was poor and was living on the streets in a junk yard in a van with no wheels and a busted front window, so Raspberry was thinking of a way to raise a lot of money so she would never have to be in that situation…
facility. However, customers cannot store their money in investment bank. So, how do customers use their money to make transaction in system? Cash is not a good answer. It is too simple. Clients need to have a new cash account in investment bank. The account is used in capital market and it not allows clients to make the transaction about cash to cash. For example, you can make a transaction such as cash to stocks and stocks to cash. So, where is the money? The answer is commercial bank. I am not sure…
Unfortunately I don’t have a tree that grows money so I come to work everyday and I try to cut down on things that are not necessary. I take much care on the money I earn and the money I spend, for the purpose of spending my money wisely I have created a budget containing my total income and all of my monthly expenses, this way I can keep track of everything and it’s also helpful when trying to put some money aside. This way I could play with my bills, paying them before hand or splitting them into…
decisions influenced by money, shown by lighting,by a change of personality with camera shota and by the Nazi regime shown with dialogue. Oskar Schindler is influenced by money to make money in the beginning. Steven Spielberg shows the influencing with lighting techniques on the money. The scene at the restaurant near the beginning shows Oskar handing over money to the waiter, the money is shownwith a close-up shot and in full light. The light on the money shows how the money is significant to Schindler…