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Write a report to Mr and Mrs Smith outlining an appropriate accounting methodology for running their business. Explain for non-accountants the financial techniques you would recommend

The questions to be answered, I have uploaded it.

Please use definitions when necessary.

Please use journals to back your answers or reasons.

Please draw appendixes for the reports.

Please answer all the questions.

Maybe you can use these for definitions and explanations:

Risk and Opportunity Management
Investment Appraisals and Decision Making
Planning, Budgeting and Forecasting
Requirements’ Management and financing “effects”
The Transformation Model and Change
Project Management

Please write more if you require to explain

Questions (1)

Jones Aerospace is beginning a joint venture with Satellite 4 Ltd to launch a communications satellite. Both companies outsource their finance and project management functions and are asking you to outline an appropriate programme management methodology.

Write a detailed business report advising the companieson project and financial management techniques and processes. [50 marks].
Consider especially an appropriate risk and opportunity management practice for the joint venture [20 marks].
What financial and non-financial information would the new company need to ensure that the joint venture is working effectively? [30 marks].

Questions (2)

Mr and Mrs Smith are using savings to buy a property to run as a Care Home for upto eight elderly paying guests. They have sourced the following three options:

A B C
Price (£) 430,000 280,000 350,000
Description Eight-bedroom house currently used as a care home. Sold as a going concern Bungalow with four bedrooms. Planning permission to add four more rooms and a conservatory A large Victorian house with multiple rooms able to be configured to provide 10 bedrooms
Cost of refurbishment (£) Nil 120,000 30,000
Income, price per room (£ weekly) 110 80 95
Location Countryside close to transport links. Suburbia, within residential area. Inner city with no parking.
Staff costs (£ yearly) 100,000 100,000 65,000

Both options A and B have ample parking provision and extensive gardens. Option C has no garden but is next door to a Doctor’s surgery which would be willing to act as the NHS partner to the care home. The first two options have no medical partner. Option A comes with current staff of four carers; options B and C require new staff members to be employed. Building A comes with a minibus as part of the deal. If a minibus is to be provided with the other options, this will have to be purchased separately at a second-hand cost of £12,000.

The Smiths can provide no more information and have left for an extensive holiday.

Mr and Mrs Smith ask for your professional advice:

Write a detailed business report advising Mr and Mrs Smith on their options, making a recommendation on which building to purchase [50 marks].
Write a follow-on memo to the Smiths discussing what additional information should be provided in order to make an informed decision [10 marks].
Mr and Mrs Smith are new to business and do not understand the accounting methods available to them to help run their new venture.

Write a report to Mr and Mrs Smith outlining an appropriate accounting methodology for running their business. Explain for non-accountants the financial techniques you would recommend [40 marks].

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