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Calculation of Fin. Ratios - Answers (1)

Autor:   •  December 19, 2016  •  Exam  •  875 Words (4 Pages)  •  768 Views

Page 1 of 4

SAMPLE CALCULATION OF FINANCIAL RATIOS

Items

2012 (‘000 $)

Fixed assets:

Plant and equipment

400

Less: depreciation

(150)

Net fixed assets

250

Current assets:

Stocks

100

Trade debtors

140

Cash and bank balances

  10

Total

250

Current liabilities:

Trade creditors

  75

Short-term borrowing

  50

Total

125

Net current assets

125

Total

375

Capital employed:

Share capital

100

Un-appropriated profits

  75

Shareholders’ funds

175

Long-term liabilities

200

Total

375

Items

2012 ($)

Sales

1000 000

Less: cost of sales

  600 000

Gross profit

  400 000

Less: operating expenses

  200 000

Operating profit

  200 000

Less: interest

    20 000

Profit before taxation

  180 000

Less: taxation

    90 000

Profit after taxation

    90 000

Less: dividends

    40 000

Retained profit for the year

    50 000

...

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