Retail Business Expansion Loan Report: Financial Analysis

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Introduction
The report contains the solution to the given assessment 2 in which a scenario is provided that is
based on the retail business that is running appropriately and earning profits so there is a
requirement to expand the business, therefore, the loan is required as the collected money via
family and friends are not sufficient. So an extra fund of £52,500.00 is required for the capital as
well as for the goods. Now there is a requirement of taking the loan from the bank for which it is
essential to display that the overall business is running in the profit and is capable to return the
loan to the bank. For this, a spreadsheet is required to show the sales and expenses of the
company. For the reference, a dataset is collected by the help of Google and the further task is
completed that will display the use of auto-sum formula, auto-formats, average, percentage,
protection of the spreadsheets and charts that are representing sales as well as expenses. The
screenshots are provided in this particular report (Andridge and Thompson, 2015).

Assignment 2
Task 1
a) Description of the business
The case study that is provided is based on the retail business that is located in the West
London, this business is running successfully and now as the business is successful so the
expansion of the business is needed for which extra funds are needed. With the help of
friends as well as family, a total fund that is collected is £10,000.00 but the extra fund is
also needed so for the loan request from the bank it is necessary to show that the business
is running successfully and is capable to return the loan. This is the reason the given
spreadsheet is given so that the bank can check that the business is in the profit and extra
fund can be provided to the business for the expansion.
b) Auto-sum:
Total profits are calculated by using the auto-sum formula.
Auto-format: It can be clearly seen that every table is the different format of display that
is used by using auto-format so that tables can look attractive (Collins, 2017).

Average: Average is calculated by using the formula of the average of all the months that
represents the average sale and expenses done in a particular month.
Average sale per month:
Average expenses per month:
Percentages:
The net profit of the company is calculated by using the percentage formula that is:
This represents that the company has a net profit of 18.42%.
Password protected:

This shows that the spreadsheet created is password protected, by entering the password user can
access the sheet.
Charts:
1) Expenses representation using the pie chart
2) Source of income are products that can be sold are shown in this pie chart.

3) Distribution of investment between capital, stock and money operations.
Task 2
The spreadsheet that is created is by using MS excel where all the expenses, as well as the sale of
the business, is displayed that shows that the business is in the profit. The formulas that are used
are sum, average, percentage so that an overall profit can be calculated by calculating the sum of
all the previous 10 months business of sales of the company as well as other expenses. Another
form through which the profits are shown is by the help of a chart that is pictorially displaying
the profits and expenses of the business (Jansen and Hermans, 2018).
The formula of auto-sum is used to calculate the overall sum of the sales that the company has
earned in every month. By using the formula, the overall calculation of the sales can be
calculated directly. The average sale of different products in a particular month is calculated by
using the average formula. The use of Auto-format is also shown by displaying different table
formats in the spreadsheet. For expected sales and benefits, there is a different table and for the
sales that the company made in every different month by selling various products is shown in
different table format. As well as for expenses there is another one. This is how the auto format
has displayed in the spreadsheet (Hu et al., 2015).
Moving on to the percentage formula that is shown in the sheet by displaying the net profit of the
company and net loss for the company is shown. The spreadsheet is password protected as well
so that no one can access the sheet without permission for which the password has been set
(Quintela-del-Río and Francisco-Fernández, 2017).
The use of the chart is also shown that will display the expenses of the company, income sources
of the company and the different distribution of the stock of the company. The use of the chart is
made so that a pictorial representation can be made in order to display the overall sales and

profits of the company easily without wasting time on reading every particular data present in the
spreadsheet.

Conclusion
The spreadsheet has been made successfully that is showing all the essential sales and expenses
of the company. The screenshots are provided in the report to show the charts as well as the
tables. It can be seen that business is running in profit and hence, it is able to return the loan
amount so the request of the loan can be approved by the bank and the business expansion can be
made successful.

References
Hu, W., Xie, J., Chau, H.W. and Si, B.C., 2015. Evaluation of parameter uncertainties in
nonlinear regression using Microsoft Excel Spreadsheet. Environmental Systems Research, 4(1),
p.4.
Quintela-del-Río, A. and Francisco-Fernández, M., 2017. Excel templates: a helpful tool for
teaching statistics. The American Statistician, 71(4), pp.317-325.
Jansen, B. and Hermans, F., 2018. The use of Charts, Pivot Tables, and Array Formulas in two
Popular Spreadsheet Corpora. arXiv preprint arXiv:1808.10642.
Collins, J.C., 2017. Data Mining Your General Ledger with Excel: Learn How to Use
Microsoft's Ubiquitous Spreadsheet Application to Unlock the Wealth of Information Stored in
Your Company's Financials. Journal of Accountancy, 223(1), p.27.
Andridge, R. and Thompson, K.J., 2015. Assessing nonresponse bias in a business survey: Proxy
pattern-mixture analysis for skewed data. The Annals of Applied Statistics, 9(4), pp.2237-2265.