Work For Level 3 Yr 1

1902 words - 8 pages

D2 – Assessment the economic efficiency and place of BB for 2014 using rate research (suitable ratio)

Introduction
In this task, I am required to assess the economic efficiency and position of BB for 2014 using rate research that is an appropriate for the panel of administrators of BB. I will be looking at BB enterprise and the competitors figure using industry average.
Name of Ratio | Type of Ratio | BB enterprise | Competitor | Industry Average |
Gross Profit Margin | Profitability | 43% | 62.25% | 54% |
Net Profit Margin | Profitability | 30% | 20% | 25% |
ROCE | Profitability | 58% | 30% | 36% |
Current Ratio | Liquidity | 2.5:1 | 2.8:1 | 2.5:1 |
Acid Test | ...view middle of the document...

Therefore, BB must look at less expensive provider but make sure that this does not impact the high company's item but help the companies such as BB to improve more in item sales so that they have a greater total benefit edge.
Net profit margin
Looking at the numbers for BB, the numbers recommend that net profit margin is 30%. This implies that for every £1 item sales for BB, 30p is being created as net benefit. However, looking at the competitor’s numbers of BB, the numbers recommend that the net benefit edge 20%. This implies that for every £1 item sales for BB opponents, 20p is being created as net benefit.
Comparison to BB and BB’s competitor’s, you can state that BB is creating enough net benefit, as the market regular is 25%. This is due to the BB that has the capability to management its other working costs and running costs. On the other side, BB opponents are not creating enough net benefit. This is due to the organizations that do not have enough management over money as the costs that have increased. Therefore, BB opponents must decrease its costs for example shifting to less expensive property or reducing employee’s costs.
Return on capital employed
Looking at the numbers for BB, the numbers recommend that ROCE is 58%. This implies that for every £1 revenue for BB, 58p is being created a comeback on investment applied. However, looking at the competitor’s numbers of BB, the numbers recommend that ROCE is 30%. This implies that for every £1 revenue for BB opponents, 30p is being created as net benefit.
Comparison to BB and BB’s competitor’s, you can state that BB has great high investment applied as the ROCE is 36%. This is due to BB that is able to worker its investment successfully and it is able to produce investors’ value. However, BB opponents have low investment applied. This is due to the competitors not being able to worker its investment successfully and is incapable to produce investors’ value.
Liquidity ratio formula

Current Ratio
Current Assets
Current liability
114,030
45,400
2.5:1
Or
2.5

Quick ratio
Current Assets - Stock
Current liability
14030 – 42150
45,400
1.58:1
Current Ratio
Looking at the numbers for BB, the numbers recommend that present rate is 2.5:1. This implies that for every £2.50p possessed in present resources is due £1 in present responsibility. However, looking at the competitor’s determine of BB, the numbers recommend that the present rate is 2.8:1. This implies that for every £2.80 possessed in present resources is due £1 in present responsibility.
Comparison to BB and BB’s competitor’s, you can state that BB has great present rate and is fluid as the market regular is 2.5:1. The figure 2.5:1 is generally considered acceptable, as firm would cover these demands from present resources. However BB competitor have higher present resources, as it is 2.8:1. This implies that they are more assets to fulfill brief – phrase financial obligations.

Quick ratio
...

Other assignments on Work For Level 3 Yr 1

Clariant Corporation Marketing Essay

2417 words - 10 pages mergers 10 37 41 50 3.1 Sales and Marketing Personnel Average Time Budget, Fall 2000 Sales and Marketing Managers Time (%) Sales Persons Time (%) Processing routine orders 1 14 Generating new business for our product line 23 31 Identifying prospects for new business for Clariant beyond our product line 4 3 Handling customer service problems and concerns 15 17 Professional development 3 4 Administrative tasks 34 13 Other

Marketing Management Essay

289 words - 2 pages goods sold $ = _________________________ Average value of inventory $ For exampleAnnual cost of goods sold – US $ 1,000,000 Average inventory value : US$ 100,000 Inventory turns = $ 1,000,000/ $ 100,000 = 10 Item Cost- Direct material, direct labor, factory O/H, Transportation, Customs duties, Insurance Carrying Cost- 1. Cost of Capital – Interest paid on the money tied up 2. Storage costs - Space, personnel, and equipment 3. Risk

Efgs

4033 words - 17 pages . Yield to maturity on company debt (Maturity 2025) N | PV | PMT | FV | I/YR | 24 | -$1228.30 | $30.00 | $1000.00 | 3.64% | After tax cost of debt Rd, AT=Rd, BT(1-T)= 9.28% x (1-0.40)= 5.57% VF Corporation’s WACC is 9.05%. This means if VF Corporation is making decision for future, the project’s rate of return must be higher than WACC rate of 9.05% in order to maintain profit. Weighted Average Cost of Capital Component

People And Behaviour

306 words - 2 pages 15 signs that say that u grew up in a rain fed region 1) U oly encounter 2 seasons a yr Rainy Summer 2) Ur umbrella is more busy than any of ur accessories 3) U don’t know why u are given holiday in summer, when it should actually have been rainy (If schools declared vacation during rainy season instead of summer, then u would have vacation almost a yr) 4) Washing clothes and drying them is always a hideous task, hence u need to have

Minicasechapter9

478 words - 2 pages of land (after tax) 17. TOTAL CASH FLOW *5-yr MACRS depreciation **10-yr MACRS depreciation -$ 1,500.00 -$ 300.00 $ $ $ $ 4% 1,000.00 500.00 600.00 1,500.00 1 2 100.00 $ 30.00 $ 3,000.00 2,100.00 900.00 200.00 50.00 650.00 227.50 422.50 672.50 $ $ $ $ $ $ $ $ $ tasa impuesto Tasa descuento Valor libros Terreno terreno impuesto terreno 3 100.00 $ 30.00 $ 3,000.00 2,184.00 816.00 320.00 90.00 406.00 142.10 263.90 673.90

Iit Madras Calendar

1114 words - 5 pages INDIAN INSTITUTE OF TECHNOLOGY MADRAS Academic Calendar – ODD Semester Jul-Nov 2016 Days Sat Sun Mon July 2016 August 2016 1 September 2016 October 2016 1 2 3 Enrolment at Dept. / Commencement of classes November 2016 Gandhi Jayanthi Tue 2 4 1 Wed 3 5 Thu 4 Last date for dropping / 2 conversion to Pass/Fail course 3 Fri Sat Sun Mon 1 2 3 4 5 6 7 8 Tue 5 9 Wed 6 Thu 7 Fri 8 Sat Sun Mon 9 10 11 Tue 12 Wed 13

Management

496 words - 2 pages = RM50 + [(1000-920)/20]/[(1000+920)/2] = 0.0563 X 2 = 0.1125 kdat = .1125 (1-T) = 0.1125 (1-0.4) = 0.0675/ 6.75% b. kp = Dp/Pp = RM1.1/RM10.10-0.5 = 11.46% c. kre = D1/P0 + g = RM0.6/RM8 + 0.06 = 13.5% EBIT = 220,000 Div. Yr 1 = 120,000/50,000 (0.5) Int. = 20,000 = RM0.60 EBT = 200,000 Tax

Marketing Business Plan

3292 words - 14 pages within a 30-mile radius of the facility. *The best way for Truly Fit to evaluate if they have created 60% brand awareness within a 30-mile radius is to create an end-of-the-year survey. Objective #4 Generate at least a 10% yearly increase in sales. *This objective will be evaluated at the end of year two. Works Cited 1. Burns, Alvin C. Marketing Research, ED5. New Jersey 2006 2. Ace Fitness 2843 www.acefitness.org/article/2843 3. Allegany County www.alleganyco.com 4. Allegany County www.alleganyco.com 5. Lifetime Fitness www.lifetimefitness.com

Victoria Chemicals Case Study 1 Victoria Chemicals (A) Mba9005 Ashley James

1935 words - 8 pages therefore we ignored the payback period. 2. Present Value/Future value:- Present value is the value today of future cash flows and future value is the grown value of money when compounded at a given rate. PV = FV/(1+i)^n FV = PV*(1+i)^n As cash flows are given in Exhibit 2 so, we will use them to calculate the net present value and the internal rate of return for the project. 3. Net Present Value:- Net Present value is the present value

Chapter 5 Solution

6798 words - 28 pages reach similar conclusions as to the stock’s value. 5-3 A perpetual bond is similar to a no-growth stock and to a share of preferred stock in the following ways: 1. All three derive their values from a series of cash inflows--coupon payments from the perpetual bond, and divi¬dends from both types of stock. 2. All three are assumed to have indefinite lives with no maturity value (M) for the perpetual bond and no capital gains yield for the

Financial Calculator Exercises

2388 words - 10 pages -3,514.06 Display shows Input (for Yr 1) K!# L!# # #  The input for P1 is the start time period and P2 the end time period so for the second year P1 and P2 should be set to 3 and 4 respectively (remember each year is 2 time periods) CHARTERED FINANCIAL ANALYST Depreciation Methods Calculator Workshop Depreciation methods using the calculator  The calculator can be used to calculate the following methods of depreciation expense

Similar Documents

Behaviour Essay

939 words - 4 pages your time horizon for investment? a) 1 yr b) 2 yr c) 3 yr d) 4 yr e) 5 yr 22.If you go for FD, you will selecta) PSU banks b) Private banks c) Foreign banks 23.When you are investing in share market, corporate social responsibility becomes a key determinant of stock selectiona) Strongly agree b) Somehow agree c) Indifferent d) Disagree e) Strongly disagree

Uolo Essay

456 words - 2 pages PROFILE I am constantly making sure that my work is completed to the highest level as I take any criticism of my work positively. I am hardworking and a conscientious individual. I am able to work on my own but I, also, enjoy working in team. I am very creative person in an artistic way. I am very polite and enthusiastic person. I enjoy dedicating my time for charity. EXPERIENCE “Wolverhampton University- Art and Design Department

Notes Essay

2237 words - 9 pages created a template for each driver to fill out over the time of the experiment. To avoid simple input errors I included pre-calculated cells. Fuel Usage and Mileage | Area: | Vehicle: | Tank 1 | Tank 2 | Tank 3 | Overall | Rural |   |   | Gal. | Beg | End | Fill 1 | Beg | End | Fill 2 | Beg | End | Fill 3 | Avg. Mpg |   | 2008 Mercury Sable | 20 |   |   | 0 | 0 |   | 0 | 0 |   | 0 | 0 |   | 2012 Ford F350 | 35 |   |   | 0.00 | 0

Micro And Macro Exercise Essay

2504 words - 11 pages = d(P*/Q*) ED = - b(P*/Q*) implying 0.4 = d(50/20) ⇨ 0.4 = - b(50/34). So d = 0.16 and b = 0.27. Next solve for c and a: Sc = c + dP and D = a – bP implying 20 = c + 0.16(50) and 34 = a - 0.27(50). So c = 12 and a = 47.5. c) OPEC’s supply increases from 14 bb/yr to 16 bb/yr as a result. Add 16 bb/yr to the short- run and long-run competitive supply equations. The new total supply equations are: Short-run: S’T=16 + Sc = 16 + 18