Hospitality
A considered view of trading patterns.
The financial context
Revenue streams, operating costs and seasonal patterns may need to be considered together. Comparisons should explain the period selected, the quality of the records and the basis of any adjustments.
Questions that shape the review
Which trading patterns matter?
Consider revenue streams, operating costs and seasonal variation across a defined period.
What is the basis of the comparison?
Separate supported adjustments from assumptions about alternative trading.
From information to an explanation
The work should connect the source material to the question being considered. Differences in definitions, periods or assumptions need to be made visible, together with the effect of any missing records.
The resulting explanation should distinguish what is documented, what depends on judgement and what remains uncertain. Its form and level of detail depend on the agreed purpose.
A question of suitability
The practice’s relevant experience, independence and the information available must be confirmed before any engagement. The purpose, scope and reporting requirements are agreed before analysis begins.
Discuss the financial question.
Start with the background, the relevant period and what you need to understand.
Discuss an enquiry