Page 357 - Microsoft Word - 00 CIMA F1 Prelims STUDENT 2018.docx

Analysis of financial performance and position
1.2 Users of financial analysis
User
 Shareholders
(potential and current)
 Providers of finance
 Suppliers
 Customers
 Employees
 Government
Objective of analysis
To determine if:
– they will receive a dividend
– the share price will grow
– the business will continue to
operate.
To determine if:
– they will get their money back
– should they provide the finance.
To determine if:
– they will get paid for their
supplies.
To determine if:
– the company will be able to
continue to supply the
customer.
To determine if:
– jobs are secure.
To determine if:
– appropriate taxes were paid.
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