6. Analysing actual performance |

Question 1

6. What is trend analysis?

Answer 1

A comparison tool usually shown as a $ amount and % change between eg. 2 years
Can be used in understanding historical trends and therefore also predictive trends

Question 2

6. What is Data Interrelationships?

Answer 2

Comparing two sets of data to find insights. eg. Temperature and sales at an icecream store.

Question 3

6. What are the main 3 categories for analysis and review for management reports?

Answer 3

• Financial ratios
• Variance analysis
• Benchmarking
  From these you can provide an analysis and review of management reports

Question 4

6. What are the 4 categories of financial ratios?

Answer 4

• Profitability
• Activity (how effective inome producing assets are working)
• Liquidity
• Financing