Subject: Functional Areas
Date: 29 November 2006
Purpose of finance in Tesco
The purpose of the financial for Tesco is that it takes responsibility for organising their financial and accounting affairs including their preparation and presentation of appropriate accounts, and their provision of financial information for managers.
What does Tesco finance do?
Activities of Tesco finance function
Preparing accounts in Tesco
The finance staffs in Tesco have of perform a range of activities related to the checking and recording of all amounts received and paid. In each case Tesco are entered into particular accounts. In Tesco, there will be accounts covering sales, purchases and expenses. Information like this is normally computerised in Tesco so up-to-date information can be processed straight away. The information Tesco obtain is known as management information because Tesco managerial decisions would be based on items being sold what popular bands are etc. Tesco financial accountant on the other hand is the person responsible for assembling all the accounts into a format that is required for legal reasons.
Paying wages and salaries in Tesco
Tesco wages section of the financial department will be responsible for calculating the wages and salaries of employees and organising the collection of Tesco income tax and Tesco national insurance for the Inland Revenue. This is usually computerised operation in Tesco and virtually all organizations pay their staff monthly, direct into their bank account, usually using a system known as credit transfer. Tesco bank transfers the money from their account to all their employees’ accounts each month. Normally in Tesco this data is held on a computer, which does the calculations for the payroll staff. However, there may be differences once the data in Tesco is input into the computer which must be sorted out by payroll staff such as maternity leave, sick pay, temporary workers. Otherwise, the computer will do the calculations.