Reference no: EM132698459

Imagine you are reviewing the company's performance for the two new sites for six months from July to December 2020. You will be provided with a profit and loss account for review, which you will be required to analyse and provide a report to the CEO outlining performance in relation to the budget. You have also been asked to review costs associated with electricity, office supplies and water as a means of assessing the company's use of resources. Based on the performance of the company, you will also be required to seek a variation to the Operational Plan to recruit two new Academic Managers, one for each campus. This is because the higher than expected student numbers led to a lack of time for the existing Academic Manager to manage all three campuses.

1. Analyse the information provided in the interim Profit and Loss Account including:

? calculation of net profit or loss for each campus

? calculation of variances between actuals and budgeted expenses - noting that variances of up to and including 10% are acceptable and do not need to be reported

2. Based on your analysis of the profit and loss account, develop a short report to send to the CEO that:

a) outlines financial performance based on the figures in the profit and loss account

b) identifies variances higher than 10%

c) compare the performance of each campus

d) recommends solutions in relation to expenditure items where variances are higher than 10%

e) seeks a variance to the original operational plan - due to the large number of enrolments - to recruit two new Academic Managers, one for each campus