Homework Answers
Answer:
a.Current Ratio = Current Assets / Current Liabilities
2016 = ( 300 + 240 + 3 ) / ( 221 + 40 + 30 ) = 543 / 291 = 1.87
2017 = ( 406 + 273 ) / ( 314 + 40 + 5 + 74 ) = 679 / 433 = 1.57
The current assets are enough to take care of current liabilities but the ratio has fallen from 2016 to 2017
b.Acid Test Ratio = Quick Assets / Current Liabilities
2016 = ( 240 + 3 ) / 291 = 243 / 291 = 0.835
2017 = 273 / 433 = 0.63
short term liquidity is below average
c.Accounts Receivable Collection period = 365 / (Sales / average receivables)
2016 = 365 / ( 2240 / 240 ) = 365 / 9.33 = 39.12 Days
2017 = 365 / ( 2681 / 273 ) = 365 / 9.82 = 37.17 Days
Debtors collection period has reduced thereby increasing liquidity
d.Accounts Payable Payment period = 365 / ( Cost of sales / Avg. Trade Payable)
2016 = 365 / ( 1745 / 221 ) = 365 / 7.895 = 46.23 Days
2017 = 365 / ( 2272 / 314 ) = 365 / 7.24 = 50.41 Days
Payables payments period increased thereby increasing liquidity
e.Debt Ratio = Total Liabilities / Total Assets
2016 = 491 / 1053 = 0.47
2017 = 733 / 1266 = 0.58
the debt ratio has increased thereby making the capital structure risky
f.Times Interest Earned = EBIT / Finance cost
2016 = 243 / 18 = 13.5
2017 = 47 / 32 = 1.47
g.Gross Profit Margin = Gross Profit / Sales
2016 = 495 / 2240 = 22.10%
2017 = 409 / 2681 = 15.26%
Gross Profit has reduced from 2016 to 2017
h.Net Profit Margin = Net Income / Sales
2016 = 164 / 2240 = 7.32%
2017 = 11 / 2681 = 0.41%
Net Income has reduced considerably due to increase interest payments
i.Return On Equity = Net Income / Avg. Shareholders Equity
2016 = 164 / 562 = 29.18%
2017 = 11 / 533 = 2.06%
Return on Equity has fallen considerably
j.Return on Assets = Net Income / Avg. Total Assets
2016 = 164 / 1053 = 15.57%
2017 = 11 / 1266 = 0.87%
Return on Assets has fallen considerably
Add Answer to:
(101AL. 13 ) QUESTION 5 The following financial statements relate to Star Millenium Sdn. Bhd, which...
Question 2 Two companies Samsong Sdn Bhd and Huaway Sdn Bhd trade in the same market....
Question 2 Two companies Samsong Sdn Bhd and Huaway Sdn Bhd trade in the same market. Their financial statements for the year ended 30 September 2019 are summarised below: Statements of Comprehensive Income for the year ended 30 September 2019: Samsong Huaway RM'000 RM'000 Revenue 284 405 (155) (251) 129 154 Cost of sales Gross profit Administrative Distribution Depreciation Interest on loan (24) (35) (37) (53) (12) (9) Nil (5) Profit before tax 61 47 Income tax expense (10) (4)...
Mawar Sdn. Bhd. presented the following balances in the company's statement of financial position for 2017...
Mawar Sdn. Bhd. presented the following balances in the company's statement of financial position for 2017 and 2016. December 31, 2017 December 31, 2016 RM RM Equipment 105,450 76,500 Accumulated depreciation-equipment (48.300) (30,600) Inventory 175.350 139,875 Accounts receivable 19,425 23.250 Cash 53.925 31,800 Ordinary share capital, no par value 207,000 165,000 Retained earnings 55,875 33,450 Accounts payable 38,475 35,625 Tax payable 4,500 6,750 Mawar Sdn. Bhd, presented the following statement of profit or loss for the year ended December 31,...
(25 MARKS) QUESTION 3 Sime Garby Berhad is a publicly listed company. The following is the...
(25 MARKS) QUESTION 3 Sime Garby Berhad is a publicly listed company. The following is the Statement of Profit and Loss and the Statements of Financial Position for the company for the year 2017: Statement of Profit or Loss for the year ended 31 December 2017 2017 2016 RM000 BM'000 25.500 17.250 Revenue Cost of sales (14,800) (10.350) Gross profit 10,700 6.900 Distribution costs (2,700) (1.850) Administrative expenses (2,100) (1.450) Finance costs (650) (100) Profit before tax 5,250 3,500 Income...
This is BBM206/05 Business Accounting II subject Question 2 Kopi Sdn Bhd's statement of profit or...
This is BBM206/05 Business Accounting
II subject
Question 2 Kopi Sdn Bhd's statement of profit or loss for the year ended 31 December 2018 and statements of financial position at 31 December 2017 and 31 December 2018 were as following: STATEMENT OF PROFIT OR LOSS FOR THE YEAR ENDED 31 DECEMBER 2018 RM'000 RM'000 Revenue 720 Raw materials consumed 70 Staff costs 94 Depreciation 118 Loss on disposal of non-current asset 18 Interest payable (28) Profit before tax Taxation (124)...
QUESTION 3 (25 MARKS) Sejengkal Berhad is a publicly listed company. The following are the Statement...
QUESTION 3 (25 MARKS) Sejengkal Berhad is a publicly listed company. The following are the Statement of Profit or Loss and the Statement of Financial Position for the company: Statement of Profit or Loss for the year ended 31 December 2018 RM'000 25,500 (14,800 10,700 Revenue Cost of sales Gross profit 2017 RM'000 17,250 (10,350) 6,900 Distribution costs Administrative expenses Finance costs Profit before tax Income tax expense Profit for the year (2,700) (2,100) (650) 5,250 (2,250) 3.000 (1,850) (1,450)...
Set out below are the financial statements of Emcar plc. Income Statement for the year ended 31 December 2017 $'00...
Set out below are the financial statements of Emcar plc. Income Statement for the year ended 31 December 2017 $'000 Turnover 2,553 Cost of sales (1,814) Gross profit 739 25 Other Income: discount received Distribution costs Administrative expenses Finance cost (125) (264) (75) 300 Profit before tax Income tax expense Profit for the period 140 160 Statement of Financial Position as at 31 December 2017 2016 000.$ 000.$ Assets Non-current assets Property, plant and equipment Intangible assets Investments 380 305...
Ohsem Berhad is a company that sells nutrition supplements and health care products. The financial statements...
Ohsem Berhad is a company that sells nutrition supplements and health care products. The financial statements of the company for the year ended 30 June 2016 is shown below: Statement of Profit or Loss for the year ended 30 June 2016 RM Sales 854,400 Cost of sales 225,500 Gross profit 628,900 Salaries expense (249,700) Finance costs (3,500) Other expenses (253,600) Profit before tax 122,100 Income tax (62,300) Profit for the year 59,800 Statement of Financial Position as at 30 June...
QUESTION 1 Princess Nur Sdn Bhd, a private company, closes its accounts on December 31 every...
QUESTION 1 Princess Nur Sdn Bhd, a private company, closes its accounts on December 31 every year The company reported the following unadjusted trial balance on 31 December, 2017 Debit RM 70.000 740,000 Credit RM 74,000 35,000 9,600 100,000 800,100 18,100 519,050 7,800 Land Buildings at cost Accumulated depreciation building Cash and cash equivalent Prepayment Franchise Sales revenue Sales retum Cost of sales Other income Inventory Trade receivables Allowance for doubtful account Uneamed rent revenue Administrative expenses Other operating expenses...
3. The summarized financial statements of Baraka enterprises ltd are As follows Income statement for the...
3. The summarized financial statements of Baraka enterprises ltd are As follows Income statement for the yare ended 30 September 2003 2004 Sh ‘000’ sh’000’ Sales 20,000 28,000 Cost of sales (15,000) (21,000) Gross profit 5,000 7,000 Administrative expenses 3,800 4,600 Debenture interest - (400) Net profit 1,200 2,000 Balance sheet as at 30 September Sh’000’ sh’000’ Non-current assets Plant, properties and equipment (NBV) 11,000 14,000 Current assets Inventories 2,000 3,000 Trade and other receivables 2,500 2,800 Balance at bank...
Exercise 11.17 (East View Ltd) (g) Times interest earned ratio ST11.17 he comparative financial statements of...
Exercise 11.17 (East View Ltd)
(g) Times interest earned ratio ST11.17 he comparative financial statements of East View Ltd for the year ended 31 December are as follows East View Ltd Comparative income statement for the year ended 31 December 2016 2015 (RM) (RM) 260,000 300,000 Net sales (all credit sales) Less: Costs and expenses Cost of goods sold Selling and administration expenses Interest expenses 177,000 207,500 60,400 57,400 3,000 7,000 3,600 9,000 280,500 19,500 Income tax expenses Total costs...
Question 2 Two companies Samsong Sdn Bhd and Huaway Sdn Bhd trade in the same market. Their financial statements for the year ended 30 September 2019 are summarised below: Statements of Comprehensive Income for the year ended 30 September 2019: Samsong Huaway RM'000 RM'000 Revenue 284 405 (155) (251) 129 154 Cost of sales Gross profit Administrative Distribution Depreciation Interest on loan (24) (35) (37) (53) (12) (9) Nil (5) Profit before tax 61 47 Income tax expense (10) (4)...
Mawar Sdn. Bhd. presented the following balances in the company's statement of financial position for 2017 and 2016. December 31, 2017 December 31, 2016 RM RM Equipment 105,450 76,500 Accumulated depreciation-equipment (48.300) (30,600) Inventory 175.350 139,875 Accounts receivable 19,425 23.250 Cash 53.925 31,800 Ordinary share capital, no par value 207,000 165,000 Retained earnings 55,875 33,450 Accounts payable 38,475 35,625 Tax payable 4,500 6,750 Mawar Sdn. Bhd, presented the following statement of profit or loss for the year ended December 31,...
(25 MARKS) QUESTION 3 Sime Garby Berhad is a publicly listed company. The following is the Statement of Profit and Loss and the Statements of Financial Position for the company for the year 2017: Statement of Profit or Loss for the year ended 31 December 2017 2017 2016 RM000 BM'000 25.500 17.250 Revenue Cost of sales (14,800) (10.350) Gross profit 10,700 6.900 Distribution costs (2,700) (1.850) Administrative expenses (2,100) (1.450) Finance costs (650) (100) Profit before tax 5,250 3,500 Income...
This is BBM206/05 Business Accounting
II subject
Question 2 Kopi Sdn Bhd's statement of profit or loss for the year ended 31 December 2018 and statements of financial position at 31 December 2017 and 31 December 2018 were as following: STATEMENT OF PROFIT OR LOSS FOR THE YEAR ENDED 31 DECEMBER 2018 RM'000 RM'000 Revenue 720 Raw materials consumed 70 Staff costs 94 Depreciation 118 Loss on disposal of non-current asset 18 Interest payable (28) Profit before tax Taxation (124)...
QUESTION 3 (25 MARKS) Sejengkal Berhad is a publicly listed company. The following are the Statement of Profit or Loss and the Statement of Financial Position for the company: Statement of Profit or Loss for the year ended 31 December 2018 RM'000 25,500 (14,800 10,700 Revenue Cost of sales Gross profit 2017 RM'000 17,250 (10,350) 6,900 Distribution costs Administrative expenses Finance costs Profit before tax Income tax expense Profit for the year (2,700) (2,100) (650) 5,250 (2,250) 3.000 (1,850) (1,450)...
Set out below are the financial statements of Emcar plc. Income Statement for the year ended 31 December 2017 $'000 Turnover 2,553 Cost of sales (1,814) Gross profit 739 25 Other Income: discount received Distribution costs Administrative expenses Finance cost (125) (264) (75) 300 Profit before tax Income tax expense Profit for the period 140 160 Statement of Financial Position as at 31 December 2017 2016 000.$ 000.$ Assets Non-current assets Property, plant and equipment Intangible assets Investments 380 305...
QUESTION 1 Princess Nur Sdn Bhd, a private company, closes its accounts on December 31 every year The company reported the following unadjusted trial balance on 31 December, 2017 Debit RM 70.000 740,000 Credit RM 74,000 35,000 9,600 100,000 800,100 18,100 519,050 7,800 Land Buildings at cost Accumulated depreciation building Cash and cash equivalent Prepayment Franchise Sales revenue Sales retum Cost of sales Other income Inventory Trade receivables Allowance for doubtful account Uneamed rent revenue Administrative expenses Other operating expenses...
Exercise 11.17 (East View Ltd)
(g) Times interest earned ratio ST11.17 he comparative financial statements of East View Ltd for the year ended 31 December are as follows East View Ltd Comparative income statement for the year ended 31 December 2016 2015 (RM) (RM) 260,000 300,000 Net sales (all credit sales) Less: Costs and expenses Cost of goods sold Selling and administration expenses Interest expenses 177,000 207,500 60,400 57,400 3,000 7,000 3,600 9,000 280,500 19,500 Income tax expenses Total costs...
Most questions answered within 3 hours.
-
What's the streaming business's problem on the
horizon?
asked 17 minutes ago -
I need help with writing the conclusion for this online lab
report
Abstract
By testing the...
asked 29 minutes ago -
For the reaction 1N2+3H2-----> 2NH3, would the reaction rate
trend be: delta[NH3]/ delta t = -2...
asked 1 hour ago -
Within your current/past organization, identify a problem/issue
and format a design to address same. You may...
asked 47 minutes ago -
A sock stuck to the side of a clothes-dryer barrel has a
centripetal acceleration of 24...
asked 1 hour ago -
A perfect gas undergoes an isentropic process such that its
volume doubles. If the ratio of...
asked 2 hours ago -
list the elements in groups 3A to 6A in the same order as in the
periodic...
asked 2 hours ago -
Estimating effect size. Peng and Chen (2014)
evaluated effect size estimates for various tests. In their...
asked 2 hours ago -
Write a script in MySQL that creates and calls a stored
procedure name test. This procedure...
asked 2 hours ago -
If we test the following: H0: μ = 17
vs. H1: μ ≠ 17 and the...
asked 2 hours ago -
in the past year TVG had revenues of 3 million, cost
of goods sold of $25...
asked 2 hours ago -
4) In a polypeptide, which bond cannot rotate because of its
partial double bond character?
The...
asked 3 hours ago