Analyzing M&S Plc: Sources of Finance and Capital Investment Factors

This report examines the sources of finance and financial decision-making processes at Marks & Spencer Plc, a UK-based retailer. It delves into various methods employed by M&S to raise funds from both internal and external sources, including equity, debt, debentures, retained earnings, loans, and euro issues. The report includes a detailed analysis of the company's working capital and leverage position, highlighting a negative working capital value based on the 2021 financial data. Furthermore, it elaborates on the critical factors that M&S considers when making capital investment decisions, such as return on investment, risk, tax implications, market fluctuations, budget constraints, and inflation rates. The conclusion emphasizes the need for M&S to improve its working capital and reduce leverage to achieve its objectives, while also stressing the importance of considering risk, return, taxation, and inflation when making investment decisions.