Financial Management and Statement Analysis

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Contents
INTRODUCTION...........................................................................................................................4
SECTION 1.....................................................................................................................................4
Elaborate the concept of financial management with its significance.........................................4
SECTION 2.....................................................................................................................................5
Define the financial statement along with its use in ratios..........................................................5
SECTION 3.....................................................................................................................................7
(i) complete the business review template...................................................................................7
(ii) Construct the income statement in excel...............................................................................7
(iii) Construct the Balance Sheet in excel....................................................................................8
(iv) Calculate the ratios................................................................................................................8
SECTION 4...................................................................................................................................10
Portray exhaustively the strategies that this organisation can use to further develop the
monetary execution models from the contextual investigation.................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
APPENDIX....................................................................................................................................13

INTRODUCTION
Financial management means the handling of the funds appropriately in an enormous way, which
will help the business in expanding by market share as well as demographically (Bordeianu and
Radu, 2020). The report contains the 4 sections. In this the role of fiscal management is
discussed with its concept. Further, the fiscal statements are defined along with the use of it in
the calculation of the ratios. The financial ratios are computed by the help of the review template,
income statement and balance sheet. Moreover, the strategies that the firm can use for the
improvement in the economic performance is discussed.
SECTION 1
Elaborate the concept of financial management with its significance.
The financial management is the conception of governing of the find by using it in the
operational activities of the business accordingly. So that it can help the business in growth and
expansion. It also helps in maximization of the profits which can be earned by the organisation
by handling its resources suitably. Its principal focus is on the overseeing the business activity by
expanding the benefits that could be acquired by the firm. It is the support point which makes a
harmony between the advantages acquired and the use by ideally utilising the assets in a
productive manner. It additionally assists the executives in setting on the choice with respect to
the funding and the disinvestment cycle.
Importance:
1. Overseeing of the business techniques: It guarantees the firm has the adequate money
in the organisation to the working activities effectively with no blocks. For this, the stock
turnover, borrowers and the leaser’s instalment is made on the schedule by guaranteeing
the entrance of the income which stays inside the firm (Heo and et.al, 2020).
2. Floating of funds: The another assistance which is the financial department does is the
managing of the resources so it very well may be utilized for extending the business
exercises and the improvement of the firm can be continued. It is the obligation of the
office to discover the capital sources, for example, securities, values debentures and a lot
more which can be embraced by the firm for raising its reasonable worth and offer. It