Importance of Accounting and Finance Functions in SKANSA PLC

Financial Decision
Making

Table of Contents
Table of Contents.............................................................................................................................2
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Critical evaluation of the importance of accounting and finance functions, duties and roles
within SKANSA PLC..................................................................................................................1
TASK 2............................................................................................................................................5
a. Calculation of ratios for SKANSA PLC..................................................................................5
b. Comment on the performance of company from an investor with 1-million-pound
perspective...................................................................................................................................6
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................9

INTRODUCTION
Financial decision making is the process which is followed by the entities for the purpose
of formulating effective decisions for future so that desired objectives of business could be
attained. For all the businesses it is very important to make sure that appropriate strategies for
operating all the future operations are formulated systematically as it is required to meet all
predetermined objectives (Asandimitra, Aji and Kautsar, 2019). Main aim of this report is to
understand the importance and benefits of financial decision making for businesses. In this
assignment the analysis will be made on the basis of SKANSA PLC which is a public company
engaged in construction activities. This project will cover various topics such as evaluation of
importance of finance and accounting function, roles and duties within the organisation. Apart
from this, calculation of ratios is also performed in this assignment for the purpose of evaluating
the performance of company.
TASK 1
Critical evaluation of the importance of accounting and finance functions, duties and roles within
SKANSA PLC
Accounting could be described as the process of recording information of all the business
transactions in specific books. It is very important for all the organisations to make sure that all
tasks related to it are performed systematically as it can help to maintain the financial
performance of company. On the other hand, finance is the required funding for carrying out
operational activities. It is very important for all the businesses to make sure that sufficient
funding is arranged for the business as it can help to accomplish all the business goals and
objectives. There are various accounting and finance functions, roles and duties that are essential
to be focused by the businesses as it can help to reach desired goals and objectives (Basdas,
2020). In SKANSA PLC the managers are focused with performing all the roles, duties and
functions in systematic manner. Discussion of all of them is as follows in context of the
enterprise:
Accounting and finance functions: There are various functions of accounting and
finance department of the organisation as it can help to perform all the activities in systematic
manner. Some of the main functions that are focused in SKANSA PLC are as follows:
1