750.00 TOTAL ASSETS

3,750.00

Total assets

?

Total liabilities and equity

?

INCOME STATEMENT FOR 20X6

(in thousands)

Credit sales

$ 8,000.00

COGS

?

Gross profit

?

selling and admin expense

?

Interest Expense

$ 400.00

Profit before Taxes

?

Taxes (44% rate)

?

Profit after taxes

?

OTHER INFORMATION

Current ratio

3 to 1

Depreciation

$ 500.00

Net profit margin

7%

Total liabilities. Shareholders equity

1 to 1

Average collection period

45 days

inventory turnover ratio

3 to 1

Assuming that sales and production are steady through out a 360-day year, complete the balance sheet and

income statement for the Vanier Corporation

shops in Wales. The chain was built up from the original shop by the present owners who

continue to manage the business, but due to serious illnesses are considering putting the

company on the market.

Extracts from the accounts of Playbus Ltd for each of the past two years ended 30 September

2002 are as follows:

Profit and Loss Account for the year ended 30 September

2002

2001

£'000

£'000

Turnover

15,000

12,000

Cost of Sales

(9.500)

(7.000)

Gross Profit

5,500

5,000

Administrative Expenses

(3,200)

(2,900)

Interest

(300)

(100)

Profit before taxation

2,000

2,000

Taxation

(1.000)

(600)

Profit after Taxation

1.000

1400

Balance Sheet as at 30lh September

Fixed Assets

4,400

2,000

Current Assets

Stock

1500

1,000

Debtors

800

500

Cash

3.300

3.500