Manage Finance: Analysis of Financial Performance and Variance Calculation

MANAGE FINANCE

Table of Contents
INTRODUCTION...................................................................................................................................3
MAIN BODY..........................................................................................................................................3
Part A...................................................................................................................................................3
CONCLUSION........................................................................................................................................5
REFERENCES........................................................................................................................................6

INTRODUCTION
Manage finance is a term used to demonstrate analysis about the financial
performance of the organisation. This project will discuss about the performance of the
organisation on the basis of the gross profit margin and other respective profitability margins.
Variance calculation will also present on actual versus budgeted cost and profitability margin.
Audit will also conduct on the financial position of the organisation.
MAIN BODY
Part A
Net income of the company is more than the anticipated profit margin which clearly
demonstrate that company has perfumed better than the expected. Performance of the
company is a strong indicator about how the organisation has perfumed actually in the
respective target market. Net profit is a strong indicator about the overall performance of the
organisation in respective target market. This is one of the core feature that support to the
organisation to demonstrate about the profitability and the performance of the venture in
respective target market. Net income of the company is in total 1333600 which is better than
the anticipation organisation has done. This is a very strong indicator about the performance
of the venture in respective target market. Profitability is always a clea and static measure to
discuss about the overall performance in respective market (Le and et.al., 2018). This aspect
discusses the fact that how effectively the organisation is performing in the market. Company
could also control its expenses which could further support the Consultancy Pvt limited to
improve its overall performance in comparison to the expected values or figures. Earlier the
organisation has also anticipated that is net income would be 1273000 but in comparison to
that the actual net income of the organisation found as 1333600 which is better than the
expected values of net profit margin. Total surplus after deducting all expenses is also more
than the expected values of expenses. This could further demonstrate the fact that the
organisation is performing better than the expected margin or standards. Operating profit of
the company is identified as 46.93% which is also a effective in its own way. All these
aspects clearly reflect on the fact that the organisation is performing better in comparison to
the anticipated values or figures determined by the organisation. Profitability is always a
strong indicator about the performance of the organisation and it is expected that the
organisation is achieving better performance than the expected standard.