500RETAINED EARNINGSTOTAL ASSETS
37,500
Retained earnings
Total Assets
? Total Liabilities and
?
Shareholders’ equity
INCOME Statement for 20X6 (In thousands)
Rs.100,000
Credit Sales
_______?
Cost of Goods sold
Gross Profit
Selling and admin expense
Interest expense
____4,000
Profit Before taxes
Taxes(30%)
Profit After Tax
3 to 1
Current Ratio
Rs.500
Depreciation
Net profit margin
7%
Total
liabilities/shareholders’
1 to 1
equity
Average collection period
45 days
Inventory turnover ratio
Assume that sales and production are steady throughout a 360-day year; complete the balance
sheet and income statement for Shah Sahib Company. (15)