Description
Covid-19 has had a significant impact on business over the last two years. Some businesses, such as supermarkets, have done well but with additional costs, many other businesses have gone into liquidation. The last year has seen shortages in skilled labour and logistics problems. It will be necessary for all businesses to re-assess their plans for the immediate and foreseeable future. The world has changed since 2019 and many people have changed their habits and preferences.
To help with this planning, you should use four ratios (not more than one from each category) to report on which aspects of the business have been most affected. Using this information suggest how the main budget may be used to plan activities for the next year. Explain how Performance management can be used to monitor the plans and guide decision making throughout the next twelve months.
With mass vaccinations gradually being rolled out across the world, your business is looking to develop a new product or service for the post Covid-19 world. The investment proposed is £50 million and should have a lifespan of ten years. You are to suggest a suitable project, and, using NPV and IRR appraisal methods, show how (or if) the investment will benefit your company.
