Liabilities

Capital Reserve & surplus

Assets
500,000 Inventory 342,714 Furniture Cost: 600,000 Accumulated Depreciation: 60,000 200,000 Debtors 150,000 Depreciation @ 10% 146,878 Cash in bank 1,339,592 200,000

540,000 350,000 249,592 1,339,592

Loan @ 12% Creditors Provision for Income tax

Particulars Purchases Advertising Salary Rent Professional fees Transportation Printing & Stationery Telephone Expenses Interest Paid Insurance premium Depreciation Income Tax @ 30% To Net profit

Amount Particulars 1,500,000 Sales 160,408 Closing Stock 408,000 468,000 15,000 25,000 15,000 10,000 24,000 25,000 60,000 146,878 342,714 3,200,000

EPS

6.854288

Net

Amount 3,000,000 200,000 credit sales 1,800,000 cash sales 1,200,000 2,601,408 206,878 2,608,286

3,200,000

225,867

Salaries 1 accountant 3 store manager 2 marketing amount 15000 6000 8000

216000 192000

rent store Net profit before tax

432000 36000 549,592 489592

CASH FLOW STATEMENT Cash flows from operating activities Net profit before tax Depreciation Interest Expense Adjustment for working capital changes: Creditors Inventory Debtors Net Cash flow from Operating Activities Cash flows from investing activities Purchase of fixed assets Net Cash flow from Investing Activities Cash flows from financing activities Capital Loan @ 12% Interest Expense Net Cash flow from Investing Activities Total Cash Flow Closing Balance Difference 500,000 200,000 -24,000 676,000 249,592 249,592 0 -600,000 -600,000 489,592 60,000 24,000

573,592

150,000 -200,000 -350,000 173,592

Debtor Turnover Ratio (net cr. Sales/avg debtors) Average Collection Period (365/DTR) Creditor Turnover Ratio (net cr purchases/avg creditors) Average Payment Period (365/CTR) Inventory Turnover Ratio (cost of sales/avg inventory) operating profit (net profit+tax+interest) Current Ratio (CA/CL) Net Profit Ratio (Net profit/sales*100) working capital (CA-CL)

5.14 70.97 days 10 36.5 days 17 513,592 2.69 11 502,714