Ask a question from expert

Ask now

Financial Statement and Sales Analysis Report

14 Pages3235 Words307 Views
   

Added on  2019-10-01

Financial Statement and Sales Analysis Report

   Added on 2019-10-01

BookmarkShareRelated Documents
HEWLETT-PACKARDFinancial statementFinancial statement and sales analysisName of the author- Name-[Type the abstract of the document here. The abstract is typically a short summary of thecontents of the document. Type the abstract of the document here. The abstract is typicallya short summary of the contents of the document.]
Financial Statement and Sales Analysis Report_1
Table of ContentsTask 1:...................................................................................................................................................3Training Workbook for Sales Team........................................................................................................3An explanation of the following concepts..................................................................................3Using 2 made up sales volume numbers (simple) and 2 existing customers’ sales volume numbers calculate;............................................................................................................................................3The below given table shows the sales volume numbers and 2 existing client’s sales volume numbers calculation...........................................................................................................................4Assessment of the variable cost and cost which could impact the profitability..........................5A description of your organisation’s management accounting procedures for dealing with the following costs;.................................................................................................................................6An evaluation of these costs and why these methods are used...................................................6Example which shows the step by step analysis of the customer account for the profitability and howit could be used for the sustainable customer performance.................................................................6Task 2:...................................................................................................................................................9Preparation of the financial analysis of company..................................................................................9Evaluating the value of each clients towards.............................................................................9Recommendation for growing the number of these clients in business..............................................9An evaluation of the business and financial risks associated with each account.................................10An identification of any key trends or variances......................................................................11Where you would expect to look for financial data on these accounts (inside and outside your organisation)....................................................................................................................................11An identification of who else in your organisation would have a stake in the financial viability and performance of these accounts and how you would ensure appropriate access to the data.......12A provision of any proformas for capturing performance and financial data about these accounts and the development of contingency plans for possible problems that may arise with the financial performance of the accounts.............................................................................................12REFERENCES....................................................................................................................................13
Financial Statement and Sales Analysis Report_2
Task 1:Training Workbook for Sales Team An explanation of the following conceptsTARGET PROFITABILITY:Target profitability could be defined as profit earned by company that managers anddirectors of company anticipated to achieve in the given time frame. It is the part of thebudget which shows the expected earning of company. It is used to make comparisonbetween the actual and anticipated profit by the company so that proper variance issues andchallenges could be found (Mennen, & Storbacka, 2016).LIFE TIME VALUE CASH FLOW: This life time value cash flow shows present value of the cash inflow and outflowgenerated by the company. It helps in evaluating the market price of company, identifying thepossible future cash value in present. It is further used in the marketing strategies andpreparing the budget for company. Life time value is computed by multiplying the averageorder value with the number of the repeated sales and average retention time (Napoli, et, al.2014).VARIABLE COSTS: The Variable cost is depicts the expenses incurred in busienss which changes with thechanges in the production level. It is based on the production level and changed accordingly.The variable cost is associated with the packing cost, customer discount cost, delivery costand other related cost. FIXED COSTS:The Fixed cost is the amount of expenses which do not vary with the changes in theproduction level. However, it helps in reduction in overall production cost if companyincreases its production level. It is accompanied with the following cost such as wages, rent,interest change of bank and electricity charges (Napoli, et, al. 2014).Using 2 made up sales volume numbers (simple) and 2 existing customers’ sales volumenumbers calculate;
Financial Statement and Sales Analysis Report_3
The below given table shows the sales volume numbers and 2 existing client’s sales volumenumbers calculation. FIANNCIAL DATAPARTICULARSsales quantitysales pricevariable cost %budgeted fixed costsample customer 1300001520%30000customer 2250001520%actual customer 1400001520%customer 2200001520%TARGET PROFITABILITYRevenueBudgeted variable cost PROFIT before fixed costsTotal profit before variablecostLess: fixed costTARGET PROFITABILITYFormulaSales Volume * sales priceRevenue * 15%----Sample Customer 1450000675003825001466250300001436250Customer 237500056250318750Actual Customer 160000090000510000Customer 230000045000255000
Financial Statement and Sales Analysis Report_4

End of preview

Want to access all the pages? Upload your documents or become a member.

Related Documents
Financial and Sales Analysis of Hewlett Packard
|17
|3087
|314

Training workbook for Sales Management
|15
|3060
|165

Types of Business and Financial Risks
|13
|2460
|179

Accounting For Managers (Doc): Assignment
|6
|1662
|53

Analysing the Financial Potential and Performance of Customer Accounts
|11
|2853
|373

Budget Preparation and Variance Analysis for Twin Rivers Café
|8
|2044
|32