Calculation of relevant profitability, liquidity, asset usage, and investment ratios and critical evaluation of the performance to the business year on year (making reference to data you have calculated and data provided from the previous year), with reference to relevant benchmarks as well as any limitations of using financial ratios as performance measures (Some key performance ratios from the previous year are listed: ROS 42%, Assets turnover 2.01, Inventories turnover 20.00, Account receivable turnover 12.00, ROA 40%, ROE 45%)
TOM, JERRY AND DONALD
TOM, JERRY AND DONALD
STATEMENT OF TRADING, PROFIT OR LOSS FOR THE YEAR ENDED 31 DECEMBER STATEMENT OF PROFIT AND LOSS APPROPRIATION FOR THE YEAR ENDED 31 DECEMBER
Sales 317,500
Net profit 199,150
Sales returns (5,000)
NET SALES 312,500
ADD: Less: Cost of goods sold
Interest on Drawings:
Opening inventory 15,000
Tom 150
Purchases 80,000
Jerry 125
Purchases returns (5,000)
Donald 175
Closing inventory (20,000) (70,000)
199,600
GROSS PROFIT 242,500
LESS: Add: Discount Received 10,000
Interest in Capital 252,500
Tom 3,500
Less Expenses 13,500
Jerry 1,000
Salaries Advertising 2,000
Donald 1,000
5,500
Light & Heat 500
Salaries: Insurance 1,000
Jerry 3,000
Carriage Outwards 6,000
Donald 3,000
6,000 (11,500)
Discount allowed 10,000
188,100
Allowance of doubtful debts 400
Share of residual Profit/Loss Depreciation
Tom (2/4) 94,050
Leasehold premises 12,000
Jerry (1/4) 47,025
Office furniture 7,950
(53,350)
Donald (1/4) 47,025
188,100
NET PROFIT FOR THE YEAR 199,150
TOM, JERRY AND DONALD STATEMENT OF FINANCIAL POSITION AT 31 DECEMBER 2023
000 Cost 120,000 80,000
000 Acc. Dep. (17,000) (8,450)
000
TOM, JERRY AND DONALD
Non-current assets STATEMENT OF PARTNER CAPITAL FOR THE YEAR ENDED 31 DECEMBER
Leasehold premises Office furniture 000 000 000
Current assets Inventory Tom Jerry Donald Trade Receivables Balance as at 31 December 2023 8,000 (4,000) 6,000
Less: Allowance for Doubtful Debts
Prepayments
ADD: Cash at bank
Interest on Capital 3,500
1,000
1,000
Cash in hand
Salary 3,000
3,000
Total assets Share of Profit/Loss 94,050
47,025
47,025
Current liabilities 105,550
47,025
57,025
Accrued salaries expenses
Accrued carriage outwards expenses
LESS: Capital account Drawings (3,000)
(2,500)
(3,500)
Tom Jerry
Interest on Drawings 150
(125)
(175)
Donald
Balances 102,400
44,400
53,350
Current account Tom Jerry Donald
Net book value (NBV) 103,000
71,550
20,000
20,000
(400)
2,000
80,000
25,500
147,100
321,650
5,500
6,000
70,000
20,000
20,000
110,000
102,400
44,400
53,350
200,150
Total capital and liabilities
321,650
