Accounting and Finance for Managers

Accounting and Finance for Managers

Contents
INTRODUCTION...........................................................................................................................3
Section 1..........................................................................................................................................3
Evaluation of Success indicators, financial goals and decision-making in respect of respective
organisations................................................................................................................................3
Evaluation of organisational performance with help of provided ratios.....................................6
Investment opportunity in chosen best performing organisation..............................................10
Section 2........................................................................................................................................10
Different Sources of Financing..................................................................................................10
Long term financing affecting interests of stakeholders............................................................12
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
In the development and progress of a company, financial reports play a critical role. There are
different types of financial reporting which must be presented in order to identify long-term
organisational productivity and growth (Finkler, 2017). This study outlines, with the aid of
various financial ratios and results analysis, the financial targets, profitability and judgement for
A.G. Barr plc, BRITVIC Plc and COCA-COLA EUROPEAN PARTNERS Plc. In order to
determine the most appropriate source to the different companies for their potential development
strategies should be adopted, the internally and externally streams of finances available to an
enterprise have also been evaluated.
Section 1
Evaluation of Success indicators, financial goals and decision-making in respect of respective
organisations
BARR (A.G.) PLC- Sir Robert Barr founded A.G. Barr PLC, a fizzy drinks maker, in 1875.
Carbonated beverages, iced teas, beverages, sports drinks, and vegetables are among its product
lines.
Financial goals-
The firm raised GBP255.7 million pounds in 2020, an 8.4 percent decline from the
previous fiscal year. In addition, its gross earnings have declined by 1.3 percent relative
to 2019, and its corresponding range values have reduced by 1.1 percent (Mburayi and
Wall, 2018). It is clear that its revenue growth is falling short of its targets. It has enacted
a lengthy viable delivery strategy that prioritises connecting with clients, trying to
develop connections with consumers, and driving productivity in order to deal with
deviations between overall performance and targeted goals.
Success indicators-
Financial expansion: It has recently been decided that the corporation has experienced a
reduction in net earnings due to rising cost of products sold, which has increasing the
organization's current income generating capability.
Financial sustainability: By making sufficient improvements in the corporate accounting
framework and processes, it is decided that the relevant company has to adopt long-term
financial sustainability strategies in order to succeed in the corporation's business climate.

Financial performance: During the fiscal year 2020, A.G. Barr Plc participated in a weakening
pattern, resulting in sales loss and higher cost of products sold. The company's total sales were
8.4 percent smaller than the previous year's revenues.
Strategy for Making Decisions- According to the aforementioned review, the company must
incorporate both short and long judgement in order to determine its potential growth
opportunities. Increased market share, investments made, and so forth.
BRITVIC PLC
It is one of the most successful soft drinks manufacturers in the UK, having been founded in
1845 in order to expand at a higher level in the respective area. It operates in four segments: GB
stills, GB crabs, Global, and Ireland.
Financial goals
The company's goal has been to retain sales in order to facilitate long-term market share
preservation. It is important to gain sufficient income in order to foster a stable economic
climate in order to progress in an upward direction (Han, Pan and Shi, 2018). It is
observed that the organization's gross income and net margins have decreased by 2.6
percent and 2.6 percent, respectively. As a result, it must plan its activities effectively in
order to minimise operating costs and promote profits in this regard.
Success indicators
Financial expansion: According to reports, the firm's earnings situation is deteriorating. It has
been determined that the earnings per share have fallen from 2018 to 2019. It earned 0.44
cents per share in 2018, but just 0.30 cents in 2019. In addition, the dividend yield has
increased in 2019, reducing the company's gross profits. It proposed that the firm should
handle its practises appropriately.
Financial sustainability: The provided organisation has implemented initiatives such as creating
local classics and global premium brands, organic food items to encourage happier
people and a healthier environment, and creative development of new spaces to achieve
long-term sustainable development and performance. Financial efficiency: By providing
suitable corrections to the new financial system, it would be possible to employ the most
efficient and sophisticated standard of tactical effective strategies, allowing for greater
performance.