Accounting and Finance for Managers: Financial Performance Analysis and Financial Ratios

Accounting and
Finance for Managers

Contents
INTRODUCTION...........................................................................................................................3
SECTION A...................................................................................................................................3
Analyze the financial performance of the three companies identified in this case study over a
period of 3 financial years..........................................................................................................3
Select and analyse 10 appropriate financial ratios....................................................................4
Ranking to best performance company...................................................................................13
SECTION B.................................................................................................................................13
Internal and external long-term sources of finance available to one of the three companies..13
Select one source of long term finance used by one of the company’s in the case study.......14
CONCLUSION.............................................................................................................................15
REFERENCES............................................................................................................................16

INTRODUCTION
Accountancy differs from money planning in that accountancy is the act of
collecting, managing, and presenting a corporation's economic finances in order to
reflect the business's accurate financial state, while money planning is the managing of
funds and investments. Managerial accounting could be used to make short - range and
long choices about a company’s financial position (Ong, Moroney and Xiao, 2021).
Accounting management aids management in determining effective decision aimed at
improving the particular project, as well as lengthy financial decisions.
SECTION A
Analyze the financial performance of the three companies identified in this case study
over a period of 3 financial years
BARR (A.G.) PLC: AG Barr plc (AGBarr) is a soft drink manufacturer and
distributor. Carbonated drinks, juice drinks, smoothies, energy bars, and mixers are
among the business and its products. AG Barr is based in Cumbernauld, North
Lanarkshire, United Kingdom. For the financial year ending January 2020 (FY2020), the
industry registered earnings of (British Pounds) GBP255.7 million, down 8.4 percent
from FY2019. A short-term trading plan was implemented that prioritized quantity
efficiency over quality. It aided the organisation in gaining a competitive advantage and
maintaining service standards. Additional lengthy plan was developed to renew the
company's price standing while lowering advertising activity.
Britvic plc: Britvic Plc (Britvic) is a soft drink distributor and maker. Sports drinks,
spring water, limestone’s, syrups, juice, squash, and sparking soda are all part of the
firm's product offering. With successful performance of initiatives, the industry is having
profitability in addition to increasing business and brand awareness in key areas.
Various products, such as Robinsons and Cordials, have been identified as luxury
brand categories that are taking market share. The EGalim legislation, which aims to
equalize business relationships with vendors and merchants in France, has had a
detrimental influence on supermarket sector revenues (Costa and Habib, 2021).

Coca Cola European partners Plc: Coca-Cola European Partners Plc (CCEP) is
a Coca-Cola manufacturing firm that operates independently. It obtains extracts,
drinking mixes, and flavorings from The Coca-Cola Company (TCCC), then
manufactures and supplies a variety of packed products to merchants and supply chain
strategies, who ultimately sell them to users. CCEP Plc is also looking to boost the
availability of small containers in designed to steer pricing and mix realization. It is also
developing a method to just provide good customer service by introducing My CCEP, an
online platform where people can order purchases. Coca-plastic Cola's bottles will be
constructed entirely of recyclable plastic by 2020, according to a sustainable marketing
policy (Ding, Ni and Xu, 2021).
Select and analyse 10 appropriate financial ratios
1. Return on Equity
Years BARR (AG) Plc BRITVIC CCEP
2017 32.89 10.29
2018 18.5 31.04 13.85
2019 17.06 19.64 17.71
2020 14.31
Figure 1