Financial Management

Financial Management is an important aspect of how a business operates efficiently. The way that the finances are controlled can determine how successful the company is. The finances of a business allows for the growth of the company. The five practices of financial management: capital structure decision, investment appraisal techniques, dividend policy, working capital management and financial performance assessment are critical when assessing a company. The performance of a company plays a key role on how successful the company is on meeting goals. There are different strategies and tools that a company can implement and if they are used to effectively the company can meet their goals. If a company has good finances, a good

Advantages- Less liability for stakeholders. Ability to raise funds/capital in the form of stocks as needed.

Part A of this report examines the resources and capabilities of Marks & Spencer (M&S) up to the mid 1990's and how they lead to creating a superior competitive advantage (CA) over all competitors.

e. The largest source of cash from financing activities is from Proceeds from Long-Term Borrowing at $498 million. p. 42

cognizant of the fact that the choices he makes can affect the price a buyer pays

* Taking on debt gives the company the ability to use cash for projects and short term investments.

Commutronics had not accumulated enough profits and had no sufficient capital reserves. The company’s registered capital was therefore very low. The withholding tax rate of

ratings while MHS’s Moody bond rating remained stable at A2 from 1996 to 2007, and increased

1. Table 3.3 shows the December 31, 2009 pro- forma balance sheet and income statements for R& E Supplies, Inc. The pro- forma balance sheet shows that R& E Supplies will need external funding from the bank of $ 1.4 million. However, they show $ 1.27 million in cash and short- term securities. Why are they going to the bank when they have most of the required amount in their cash account?

(Melicher, R. W., & Norton, E. A. (2013) Investing activities include capital expenditures, acquisitions, investment increases, in and out cash flow, sale of property, plant and equipment, and cash from investments. (Melicher, R. W., & Norton, E. A. (2013) Finance activities include debt increases and decreases, dividends, repurchase of capitol stock, issuance of capitol stock, cash from financing, net change in cash, other in and out cash flow and effects of exchange rates. (Melicher, R. W., & Norton, E. A. (2013)

John has difficulties with money management because his mother dealt with finances when she was alive, and when he was homeless he only had to manage a few dollars at one time. For John, his values impact his ability save and manage money. When John was homeless he did not value saving his money because he did not have any money to save. Learning how to put money into a savings account, writing checks, paying bills and making a budget will be important when he gets a job.

Debenhams plc is a general retailer which operates its business in the UK market and is also seeking to realise a further global market expansion. This report will mainly focus on the performance, financial position and the liquidity of Debenhams plc in 2014 and will compare with that of the previous year. A competitor in the same industry, Marks& Spencer, is chosen to make a comparison as well. The report in mainly focused on how Debenhams operated in the UK sector which includes sales from Debenhams stores in UK and online sales delivered to UK addresses. Debenhams faced challenges in 2014; the outcome for the first half was disappointing due to inappropriate sales target was set and the external factors such as market environment, as the whole retail industry has still influenced by the recession. Marks & Spencer is the competitor company which has been chosen to compare and measure Debenhams outcome in 2014.

1. The cause to the conflict in the rankings is that while the IRR ranking shows a percentage so that you can see what percentage you are making on certain amount, it does not show the size of the project.

Marks and Spencer's is a multinational chain of department stores, which sell a wide range women's, men's and children's clothing and footwear, gifts, home furnishings, beauty products, financial services and food, all exclusive to Marks and Spencer's. It is a successful company that has 375 stores in 29 countries worldwide and over 10million shoppers a week. As well as owning the US supermarket group "Kings Supermarkets" M&S website

The early 1990 's marked the beginning of a sea change in customer 's expectations with regard to good quality, healthy food. M&S image as a respectable retailer with its focus on providing a wide range of premium foods meant that the M&S brand, where food was concerned, became regarded as something of a luxury.