logo

Managing Financial Resources and Decisions | Project

   

Added on  2020-01-28

18 Pages5575 Words47 Views
MFRD

TABLE OF CONTENTSintroduction....................................................................................................................................1task 1................................................................................................................................................11.1 Identification of the sources of finance available to Sweet Menu Restaurant Ltd................11.2 Assessment of the implications of the sources of finance.....................................................21.3 Evaluations of the most appropriate sources of finance for Sweet Menu Restaurant...........3Task 2...............................................................................................................................................42.1 Analysing costs of the different sources of finance...............................................................42.2 Importance of financial planning for Sweet Menu Restaurant for new project....................42.3 Assessment of the information needs of different decision makers in Sweet MenuRestaurant....................................................................................................................................52.4 Explaining impact of sources of finance on financial statements..........................................6Task 3...............................................................................................................................................73.1 Analysis of the budget and making appropriate decisions....................................................73.2 Calculation of the unit costs (meal cost) and making pricing decisions................................73.3 Viability of two projects using investment appraisal techniques..........................................8a) Payback period method:......................................................................................................8b) Net Present Value (NPV)....................................................................................................9Task 4.............................................................................................................................................104.1 Main financial statements....................................................................................................104.2 Comparison of appropriate formats of financial statements for different types of business...................................................................................................................................................114.3 Interpretation of the financial statements using ratio analysis.............................................11conclusion......................................................................................................................................12references.......................................................................................................................................13

TABLE OF FIGURESFigure 1: Available sources of finance............................................................................................1LIST OF TABLESTable 1: Calculation of unit cost and selling price..........................................................................7Table 2: Payback period for proposal 1...........................................................................................8Table 3: Payback period for proposal 2...........................................................................................9Table 4: NPV for proposal 1............................................................................................................9Table 5: NPV for proposal 2..........................................................................................................10Table 6: Ratio analysis of Sweet Menu and Blue Island Restaurant.............................................12

INTRODUCTIONManaging financial resources is an essential part of the organization. It allocates availablefinance to different operations of the company. Management and allocation of funds are alsoconsidered as a major function of financial department (Ramírez, Selsky and Van der Heijden,2010). The current research project is based on managing financial resources and decisions. It isbased on Sweet Menu Restaurant that wants to start two new restaurants. The current researchemphasizes on sources of finance available for this organization. Further, study focuses ondifferent financial resources of the firm. Report will describe different information which helpsin making appropriate financial decisions. Further, financial performance of the organization isalso described the following paragraphs of the report. TASK 11.1 Identification of the sources of finance available to Sweet Menu Restaurant LtdFor the business expansion, Sweet menu restaurant can use different sources of financesuch as internal and external financial resources. All these sources are described as under:Figure 1: Available sources of financeInternals sources of finance:Retained earnings: It means remaining part of profit after distributing all interest anddividend to the respective investors. It is an internal source of funds which help in raisingcapital of the organization without any extra monetary cost (Heath and Heath, 2013). 1| P a g e

End of preview

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

Related Documents
MANAGING FINANCIAL RESOURCES AND DECISON MAKING TABLE OF CONTENTS Task 13
|20
|3797
|267

(PDF) Managing Financial Resources and Decisions - Assignment
|19
|5623
|168

Sources of Finance Report - Sweet menu business
|23
|5606
|154

(PDF) Managing financial resources and decisions Assignment
|16
|5484
|50

Sources of Finances in Sweet Menu Restaurant : Report
|19
|4224
|95

Various Sources of Finance Available to Sweet Menu
|18
|5161
|68