Financial & Management Accounting

Master of Business Administration

FINANCIAL & MANAGEMENT ACCOUNTING

Ahmed Khader

201266073

Table of Contents

1.0 Introduction - 4 -

2.0 Strategy & Forward Planning - 5 -

3.0 Ratio Analysis - 6 -

3.1 Profitability Ratios - 6 -

3.1.1 Return on Capital Employed. - 6 -

3.1.2 Return on Shareholders’ Funds (also called Return on Equity). - 7 -

3.1.3 Net Profit Percentage, Gross Profit Percentage & Operating Profit Percentage. - 7 -

3.2 Liquidity Ratios - 9 -

3.2.1 Current Ratio & Quick Ratio (Acid Test) - 9 -

3.3 Efficiency Ratios - 10 -

3.3.1 Stock holding period, debtors payment period, creditors payment period & cash conversion cycle - 10 -

3.4 Financial Structure - 11 -

3.4.1 Gearing - 11 -

3.4.2 Interest cover ratio - 11 -

3.4.3 Price/Earnings ratio - 12 -

3.4.4 Dividend yield - 12 -

4.0 Cash Flow - 13 -

4.1 Cash flow Vs. Profitability: - 13 -

4.2 Cash flow Vs. Liquidity: - 14 -

4.2 Cash flow Vs. Efficiency: - 14 -

4.2 Cash flow Vs. Financial Structure: - 14 -

5.0 Non-Financial Ratio Indicator - 14 -

5.1 Customer Satisfaction: - 14 -

5.2 Health and Safety: - 14 -

5.3 Waste generated per Home: - 15 -

5.4 Employee Turnover: - 15 -

6.0 Conclusion & Recommendation - 15 -

7.0 Sources & References - 17 -

8.0 Appendix - 18 -

8.1 Taylor Wimpey Financial statement - 18 -

8.1.1 Income Statement: - 18 -

8.1.2 Balance Sheet: - 19 -

8.1.3 Cash flow statement: - 21 -

8.1.3 Table of Ratios: - 22 -

1.0 Introduction

Real-estate business is building the property and in case of Taylor Wimpey mainly houses for business, and this type of business is require high amount of startup capital and expert knowledge in geographical and demographical population distribution .

Real estate business booming was in 2008 and then after decline rapidly during crises, typically over the world except in some condense...