Understanding financial statements Case Study Example | Topics and Well Written Essays - 1250 words

Understanding financial statements - Case Study ExampleThe main rationale of this report is to discover the financial position and performance of Sandell and to suggest Parveen whether she should accept the position of sales director.The financial statement of the community focuses on the various areas of the financial performances. Comprehending financial statement is necessary for the achievement of goals of a attach to. The main bugger off of this report is to evaluate the financial performance of the Sandell Plc. The report has focused on the key features and purpose of Sandell Plc. It in like manner led emphasis on the importance of clean audit reports and good corporate governance. An analysis of the ratios indicates that the fluidity position of the company is not good and the solvency ratios have also increased which will have a negative impact on the company. Further, the operating cash cycle has decreased as compared to previous family which signifies that Sandell wi ll require more time to acquire its cash.Sandell Plc is listed on the United Kingdoms get (Alternative Investment Market). It is one of the building merchant which supplies ironmongery, landscaping materials, heating and plumbing, timber, decorating and painting, sheet materials, insulation and dry lining, brink and carpentry, and power and hand tools.The expansion which is desired by Sandell has not yet took place and therefore the company offered Parveen an incredibly generous compensation package in order to apply a new dodge of sales to support the expansion of Sandell into new markets of Western Europe. So, the main purpose of Sandell Plc is to hire a sales director to focus on the areas which are not contributing to sales and then they will maneuver necessary steps accordingly to augment sales and growth of the company.The total assets of the company incorporate the stream and non-current assets. Current assets have increased in relation to previous year and the non-current assets are