- Case StudyHelp.com
- Sample Questions
If you are looking for a Company Statement of Financial Position and Performance Assessment Answers, you are in the right place. Our online MBA & PhD experts can provide you with Financial Statement Assignment Help on all topics related to this field.
We have a team of experienced and qualified academic writers who have worked on several Statements of Financial Position and Performance Sheets or projects. Our writers are highly knowledgeable and have in-depth knowledge of the subject.
Words: 2000
Assessment Instructions
Greenspace Supplies Limited makes and sells garden furniture and ornaments.
The financial statements for the business for the past two years are shown below:
Statement of Comprehensive Income for the Year Ended 31st December
2020 | 2021 | ||||
£000’s | £000’s | £000’s | £000’s | ||
Sales Revenue | 6,780 | 6,220 | |||
Less: Cost of Sales: | |||||
Opening Inventory | 850 | 780 | |||
Manufacturing Costs | 4,321 | 4,223 | |||
5,171 | 5,003 | ||||
Less Closing Inventory | (780) | (847) | |||
Cost of Sales | (4,391) | (4,156) | |||
Gross Profit | 2,389 | 2,064 | |||
Less: Expenses | |||||
Selling & Distribution Expenses | 924 | 1,070 | |||
Administrative Expenses | 202 | 323 | |||
Bad Debts written off | 74 | 1,200 | 128 | 1,521 | |
Operating Profit | 1,189 | 543 | |||
Less: Interest Payable | (235) | (301) | |||
Profit before tax | 954 | 242 | |||
Less: Tax | (241) | (58) | |||
Profit after tax | 713 | 184 | |||
Less: Dividends Paid | (162) | (61) | |||
Retained Profit for the year | 551 | 123 | |||
Also Read:
Strategic Financial Statement Analysis Sample Assignment Answers
Statement of Financial Position as at, 31st December
2020 | 2021 | ||||
£000’s | £000’s | ||||
ASSETS | |||||
Non-Current Assets (net) | |||||
Land and Buildings | 4,322 | 4,512 | |||
Equipment | 1,476 | 1,617 | |||
Motor Vehicles | 344 | 318 | |||
6,142 | 6,447 | ||||
Current Assets | |||||
Inventory | 780 | 847 | |||
Trade Receivables | 1,278 | 929 | |||
Bank and Cash | 407 | 16 | |||
2,465 | 1,792 | ||||
Total Assets | 8,607 | 8,239 | |||
EQUITY AND LIABILITIES | |||||
Equity | |||||
Ordinary Shares of £1 each | 2,950 | 3,200 | |||
Accumulated Retained Profit | 1,236 | 1,359 | |||
4,186 | 4,559 | ||||
Non-current liabilities | |||||
Long term Borrowing | 3,300 | 2,758 | |||
Current Liabilities | |||||
Trade Payables | 594 | 891 | |||
Taxation | 527 | 31 | |||
1,121 | 922 | ||||
Total Equity and Liabilities | 8,607 | 8,239 | |||
Check it out:
Financial Statement Analysis Assignment Help
The business has recently appointed a new managing director, who requires information regarding the financial performance and position of the business during the past two years.
After her early discussions with the management team of the business, she believes that:
- Several long-term projects the business has invested in during recent years have produced disappointing financial returns
- This is partly due to inadequate financial evaluation of potential investment projects before they are approved to proceed.
Required:
Prepare a report for the new managing director of the business that:
Part (A)
Analyses the financial position and performance of the business in 2020 and 2021 in relation to:
- Profitability
- Efficiency (asset utilisation)
- Liquidity
- Gearing
- Investment
The calculation of relevant ratios must support your report in each of these five evaluation areas mentioned above. It should comment on changes from year to year and their potential implications for the business.
Part (B)
Critically assesses how each of the following techniques can provide useful information to guide managers in the business responsible for long-term investment decisions:
- Payback period
- Net present value
You may include illustrative calculations to support your report and help to demonstrate your understanding.
For REF… Use: #getanswers2002394