accounting report

《accounting report》由会员上传分享，免费在线阅读，更多相关内容在行业资料-天天文库。

1、IntroductionSSPplc,acompanywhichisengagedinfoodprocessing,issupplyingallthemainsupermarketchainswithfirstclassprocessedmeatproducts.Lastseveralyearshavesomedifficultforthefoodmanufacturingindustry.Recently,ithasreboundedinthemarketwhichwillgathermomentumoverthecomingyearan

2、ditisplanningtotakeevengreaterstridesforwardbyopeninganewmarkets.ThemanagementofSSPplcrequiresmetoanalysisandevaluatesthefirm’sfinancialcondition.Thisreporthasthreesections.TheyareUsersoffinancialinformation、SourcesoffinanceandFinancialinformationanalysis.Ihavealsosuppleme

3、ntedtheratioscalculation.Section1UsersofFinancialInformationThemainusersoffinancialstatementswillusefinancialinformationtoassistdecision-making.Usersoffinancialinformationcanbesplitinto2categories:internalandexternalusers.Toallowmanagementtomakeeffectivedecisions,allareaso

4、faccountinginformationareofinteresttothem.Managementwillusetheaccountinginformationtocompareperformancewithpreviousyearsandcompetitors,identifyareasimprovement,planfutureresourceallocation,anddecidepurchasingandpricingpolicies.Managementwilluseallsourceoffinancialinformati

5、on.Thecompany’spastperformancecanbeassessedusingthefinancialaccountsandratioanalysis.Theratioanalysiscanthenbecomparedwithpreviousyearsorwithcompetitorstoshowareasofpossibleimprovementinvestigation.Budgetsarealsoanimportantsourcetomanagement,thereareusedtoidentifypossiblef

6、utureproblemssothatproactivemeasurescanbetaken.userPurposeofusinginformationSpecificinformationusePotentialshareholdersPotentialshareholderswillusetheaccountstohelpdeterminewhetherornottheywishtoinvestinthecompany.Potentialshareholderswillanalyzetheaccountsofsomecompaniesa

7、ndcomparewiththeprofitabilityandfutureprospectsofthesecompaniesinordertodecidethebestinvestmentoption.Andtheyusuallyfocusonbalancesheetandprofitandlossaccount.Short-termcreditorsCreditorswillconsultaccountinginformationbeforedecidingtolendmoneytothecompany.Theywillbeanalyz

8、ingtheliquidityandlong-termfutureofthebusinesstodecidetheleveloffinancetobegiven.Short-te