31

a)

Shares Sold
Less goodwill wi)
Less asset @disposal
Nci at disposal wii)

wi)

Cosideration 19,200.00 √
NCI 4,900.00 √
Less assets (19,800.00) √
4,300.00 √

wii)
NCI 4,900.00 √
NCI AFTER PURCHASE 1,260.00 √
6,160.00 √

b)

Revenue
Less cost of sales
Gross Profit
Operarating expenses
Profit
finance costs

20X7- adjusted
c) Gross profit margin 48.8%
Net profit margin 19.8%
Interest cover 47.33

d)
The gross profit margin slightly incrseased when adjusted but there was a increase of 4% compared to
The net profit margin decreased significantly after being adjusted. This could be because it does not in
very unclear what about other ratios?
32 a)\

Adjusted Profit

Draft Profit
Contract Revenue
Less cost of sales
Depreciation
impairment
closing inventory
Adjusted Profit

b) SOCIE

Share Capital Share Premium

Balance b/d 20,000.00 3,000.00
Loss on revalue
Profit
Bonus issue 4,000.00 (3,000.00)
Dividend paid
24,000.00 -

c) SOFP

Non-current assets
Property
Current assets
Inventory
Trade receivables
Cash
Contract
Total assets

Equity
Share Capital
Reatined earnings

Noncurrent liabilities
Loan
Current Liabilities
 28,640.00 √
(4,300.00) √
(26,100.00) √
6,160.00 √
4,400.00 √ (5 marks)

$'000
38,220.00 √
(19,580.00) √
18,640.00 √
(11,067.00) √
7,573.00 √
(160.00) √ (4 marks)

20X7 20X6
48.10% 44.80% √
41% 16.80% √
19.7 3.5 √ (2 marks)

here was a increase of 4% compared to 20X6 ×

ed. This could be because it does not include the profit which was present when there was still consolidation
(0 marks)
$'000
2,250.00 √
5,600.00 √
(3,600.00) √
(720.00) √
(480.00) √
390.00 √ (5 marks)
3,440.00 × Convertible loan notes?

Retained Earnings Revaluation Surplus Option?

6,270.00 800.00 √
(800.00) √
3,440.00
(1,000.00) √ ×
(3,620.00) √
5,090.00 × (4 marks)

$'000

16,000.00 √

4,700.00 √
5,510.00 √
10,320.00 √
2,500.00 √
39,030.00 √

24,000.00 √
5,090.00 ×

8,000.00 ×
1,940.00 √
39,030.00 how?????? (5 marks)
(Total 24 marks)

60%
×