Business Report of Bicycle
Date – 08th October 2020.
Subject – Business Report
Bicycle is presenting the financial position for the month of September 2020 comparing with the previous month. The company started using xero from September onwards to record accounting related transaction. Purpose of the report is to understand how the company performed during the month. Necessary action will be taken according to the reports that are states here.
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Business Report of Bicycle
Bicycle is one of the profitable bicycle company in Australia. The report indicates the financial performance throughout the month and it is well profitable rather than previous month. Gross profit margin, Current Ratio, Quick Ratios also confirms that company is profitable. Company managed their inventory, receivables and payables very well. Company is going forward to profit however, the report recommends how to increase profits more doing marketing and global trends towards bicycle industry. Finally in the visualizing section the graphs shows how the company performance during the month of September 2020.
Table of Contents
TOC \o "1-3" \h \z \u Executive Summery PAGEREF _Toc52643920 \h 3
1. Introduction PAGEREF _Toc52643921 \h 5
2. Financial Performance Factors. PAGEREF _Toc52643922 \h 5
3. Benchmarking PAGEREF _Toc52643923 \h 8
4. Recommendation PAGEREF _Toc52643924 \h 8
5. Visualization PAGEREF _Toc52643925 \h 9
6. Conclusion PAGEREF _Toc52643926 \h 11
7. References PAGEREF _Toc52643927 \h 11
Bicycle retailing and repair is one of the most famous sector in the world because 90% of the world population can ride a bicycle. Therefore, demand for bicycle never fade away. Bicycle is one of the company that sell bicycle in Australia. It currently only sells bicycle but in near future it will sell other accessories that necessary for cycling. bicycle sell different type of bicycles to the society. this report indicates the financial performance of the company for the month of September 2020 comparing the August 2020 data.
Scope of this report is describe how well our company performed during the September rather than other leading companies in Australia.
2. Financial Performance Factors.
When Comparing with last month (August 2020) company’s financial results climbed during month of September 2020. The results of the reports states that company is well stabled during the month. According to the month of September company’s net profit is $902,283.29. It is $499,503.3 more than previous month. The company made quite a lot number of sales within the month. The company earned $2,179,878.38 which is contribute to the Total income if the month. However, comparing to the previous month it considers as good because the month of August generated only just over 1 million sales. Cost of goods sold valuing at $1,035,800.88 in September. Gross profit margin for the September is 54.52%. This is a good sign for the company because ration indicates Gross profit generated by every $1 of sales. Moreover, the company has 54.52% of its revenue to cover cost and create profits for the owners. This company has more than 50% of gross profit margin in September which is good for the company because higher the gross profit margin means higher the pr