Business Planning/ Accounting Principles and Procedures (Submission)

Question 1

Can you tell me Savills revenue for the last financial year?

Answer 1

2021 = £2.2bn

Question 2

How did this compare to previous years?

Answer 2

2020 = £1.7bn

Question 3

How do you plan your future business activities?

Answer 3

The projective business model in terms of revenue.
KPI’s
Target Market.

Question 4

Given recent economic events – how may this impact your future business planning?

Answer 4

focusing on existing streams of business instead of

Question 5

How do you work as a good team player?

Answer 5

Communicate frequently, ensure I am always contactable when at work and go directly to managers when I have concerns to discuss.

Question 6

Why is accurate fee forecasting important?

Answer 6

Important to project your annual income in comparison to your overhead costs. We have an annual and monthly projection of revenue to ensure we are meeting our overheads.

Question 7

Why are your company statements produced in accordance with IFRS?

Answer 7

Because we undertake work internationally and we are a public company.

Question 8

What other reporting standards are there other than the IFRS and in what circumstances would you report to these instead?

Answer 8

The new UK GAAP standard is FRS 102, ‘The financial reporting standard applicable in the UK and Republic of Ireland’. It is based on the IFRS for SMEs, a simplified IFRS standard developed by the International Accounting Standards Board for non-publicly accountable entities.

Question 9

What is the benefit of business planning?

Answer 9

Clear vision and strategy as to what to target.
Identifying.

Question 10

What is one of your team’s goals?

Answer 10

Expanding and developing consultancy.

Question 11

What was the impact of COVID-19 on Savills?

Answer 11

Flexible working.

Question 12

What is the role of an auditor?

Answer 12

To report whether financial statements represent a true and fair view of a company’s financial performance.

Question 13

What is the difference between management and statutory financial statements?

Answer 13

Management accounts are prepared for internal purposes whereas statutory financial statements (company accounts) are for statutory purposes.

Question 14

Would you expect to see debtors in a balance sheet or P&L statement?

Answer 14

Balance sheet

Question 15

What would you expect to see in Company accounts (statutory financial statements)?

Answer 15

• Written reports such as the Chairman, CEO, and CFO comments, corporate responsibilities, and risk management.
• Cashflow statement
• Balance sheet
• Profit and Loss

Question 16

What does a Cashflow Statement show?

Answer 16

How cash was generated and spent.

Question 17

What does a Balance sheet show?

Answer 17

It is a snapshot in time of assets and liabilities @ a given date. (usually end of the financial year)

Question 18

What does a Profit and Loss show?

Answer 18

Summary of business income and expenditure transactions.

Reflects a business performance defined by income, costs and profit.

Question 19

Are there any accountancy changes you are aware of in regard to the IFRS?

Answer 19

IFRS 16 - the lease accounting standard which states that the full cost of leases has to be accounted for on the balance sheet. (ie. the occupier’s rent has to be fully recognised) UNLESS the lease is shorter than 12 months.