Handling Financial Resources and Decisions

 Managing Financial Resources and Decisions Essay

HNDВ BUSINESSВ MANAGEMENTВ

MANAGINGВ FINANCIALВ RESOURCESВ ANDВ DECISIONSВ (MFRD)В

INSTRUCTOR: В В MRВ DAVIDВ KINGSTONВ В

STВ PATRICK'SВ COLLEGEВ

RIYADHВ ALAWAMIВ В

GROUPВ C2В

StudentВ noВ 21201099В

В 

FINANCIALВ REPORTВ В

LONDONВ WOODSВ

FEBВ­MAYВ 2013В

ByВ RiyadhВ AlawamiВ В

В 

TABLEВ OFВ CONTENTSВ

ADVANTAGES

CompanyВ DetailsВ

OverviewВ ofВ theВ GlobalВ EconomyВ forВ 2012

SOURCESВ OFВ FINANCE

SourcesВ availableВ

ImpactВ ofВ SourcesВ

AppropriateВ SourcesВ forВ LondonВ WoodsВ

FINANCIALВ RESOURCESВ

CostВ ofВ theВ differentВ sourcesВ ofВ financeВ

ImportanceВ ofВ FinancialВ PlanningВ

NeedВ forВ goodВ informationВ

ImpactВ ofВ sourcesВ onВ financialВ statementsВ

FINANCIALВ INFORMATIONВ ANDВ DECISIONS

CashВ BudgetВ (Attached)В

CostВ ofВ producingВ aВ singleВ chairВ В

EffectsВ ofВ costВ onВ pricingВ decisionsВ

ShouldВ LondonВ WoodsВ purchaseВ theВ productionВ machines? В В

FINANCIALВ PERFORMANCE

MainВ statementsВ forВ aВ companyВ

ComparisonВ betweenВ aВ SoleВ TraderВ andВ aВ CompanyВ

SUPPLY

APPENDIX

FinancialВ StatementВ LondonВ WoodВ

GrowthВ CalculationsВ

4

13В

18В

25В

26В

INTRO: В В

COMPANYВ DETAILS: В

LondonВ WoodsВ isВ aВ furnitureВ mediumВ capВ whichВ hasВ beenВ operatingВ forВ theВ pastВ 5В years. В ItВ wasВ foundedВ byВ BilliВ Kid, В BengazyВ andВ LeeВ Jones. В В

AtВ theВ timeВ ofВ composing, В theВ companyВ isВ havingВ qualityВ issuesВ which usually, В amongВ otherВ factors, В haveВ resultedВ inВ a В marketВ shareВ declineВ ofВ 1%. В OneВ ofВ theВ majorВ reasonsВ isВ dueВ toВ aВ passiveВ approachВ withВ noВ emphasis В onВ expansionВ byВ management. В В

RecentВ measuresВ areВ beingВ takenВ to В resolveВ thisВ suchВ asВ plansВ toВ reinventВ theВ company'sВ valuesВ andВ workingВ policiesВ toВ supportВ TotalВ QualityВ Administration В (TQM)В andВ by simply В lively В participationВ practicesВ whichВ allowВ theВ firmВ toВ growВ moreВ readily. В В

PivotalВ decisionsВ thatВ theВ firmВ has В toВ decideВ uponВ includeВ theВ meansВ throughВ whichВ theВ desiredВ improvements, В includingВ theВ necessityВ toВ increaseВ profitability, В mayВ beВ elicited. В В MatthewВ suggestedВ thatВ theВ firm В shouldВ purchaseВ two В newВ productionВ machinesВ forВ aВ totalВ feeВ ofВ ВЈ4MВ excludingВ anyВ interestВ andВ extraВ financingВ fees. В В

WhetherВ theВ purchasingВ isВ worthwhile В alongВ with В methodsВ ofВ enhancingВ theВ financialВ healthВ ofВ LondonВ WoodsВ willВ beВ exploredВ inВ theВ followingВ sections. В

THEВ GLOBALВ ECONOMY, В 2012: В

ToВ understandВ theВ environmentВ inВ whichВ LondonВ WoodsВ isВ operating, В itВ isВ necessaryВ toВ lookВ atВ anyВ majorВ globalВ economicВ eventsВ forВ theВ yearВ 2012В toВ takeВ intoВ accountВ anyВ factorsВ thatВ mayВ haveВ affectedВ theВ firm. В В

AnВ overviewВ ofВ theВ wholeВ economyВ indicatesВ thatВ thereВ isВ likelyВ toВ beВ aВ doubleВ­dipВ recession, В mainlyВ dueВ toВ fallingВ aggregateВ demand, В withВ slowingВ growthВ ratesВ andВ increasingВ unemploymentВ levelsВ atВ 3. 3В andВ 8. 6В perВ centВ respectivelyВ withinВ developedВ countriesВ[]. В QuantitativeВ EasingВ isВ prevalentВ withinВ theseВ sameВ nations, В especiallyВ theВ USAВ andВ UK, В withВ theВ FEDВ andВ CentralВ BanksВ predictingВ printingВ ofВ $40bnВ aВ month. В SuchВ measuresВ haveВ increasedВ inflationВ levels, В naturallyВ causingВ anВ erosionВ inВ theВ timeВ­valueВ ofВ moneyВ whichВ isВ whyВ thereВ isВ suchВ emphasisВ onВ usingВ discountedВ ratesВ whenВ makingВ futureВ predictionВ whenВ valuingВ assetsВ orВ returns. В AllВ theseВ factorsВ haveВ contributedВ toВ theВ euroВ zoneВ debtВ crisisВ andВ hasВ ledВ theВ economyВ toВ aВ FiscalВ Cliff. В

В 

InterestВ ratesВ inВ theВ Eurozone, В however, В areВ currentlyВ atВ theirВ lowestВ levelВ atВ 0. 75В perВ cent, В creatingВ greaterВ potentialВ forВ companiesВ andВ individualsВ lookingВ toВ obtainВ capitalВ throughВ bankВ loans. В ThisВ isВ alsoВ assistedВ byВ aВ gradualВ increaseВ inВ InternationalВ lendingВ В В

SOURCESВ OFВ FINANCE: В

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