High-Tex Limited Income Statement for the year ending 30 June 2019 ($’000) 2018 ($’000) Revenue - computer 9,600 8,300 Revenue - software 1,450 1,500 Total operating revenue 11,050 9,800 Cost of sales 5,400 5,195 Gross profit 5,650 4,605 Administration expense 1,250 950 Wages expense 600 500 Depreciation expense 225 225 Other expenses 480 435 Earnings before interest and tax 3,095 2,495 Interest expense 455 525 Profit before tax 2,640 1,970 Income tax expense 792 591 Profit for the period from continuing operations 1,848 1,379 High-Tex Limited Balance Sheet as at 30 June 2,019 ($’000) 2,018 ($’000) Current assets Cash 1,450 2155 Accounts receivable 1455 1,045 Inventories 755 980 Total current assets 3,660 4,180 Non-current assets Property, plant and equipment 6,780 7,150 Intangible assets 550 451 Total non-current assets 7,330 7,601 Total assets 10,990 11,781 Current liabilities Accounts payable 735 1145 Income tax payable 650 685 Accrued expenses 815 995 Total current liabilities 2,200 2,825 Non-current liabilities Bank loans 3,700 4,100 Provisions 585 415 Total non-current liabilities 4,285 4,515 Total liabilities 6,485 7,340 Net assets 4,505 4,441 Equity Share capital 2,000 2,000 Retained earnings 2,505 2,441 Total Equity 4,505 4,441 Additional information: The total equity as at 30 June 2017 is $4,185,000. The inventory as at 30 June 2017 is $915,000. The accounts receivable as at 30 June 2017 is $1,055,000. Question: You have been invited to calculate the following ratios for the company: Financial Ratios 2019 2018 Return on Assets (ROA) % % Return on equity (ROE) % % Profit Margin % % Gross profit margin % % Inventory turnover times times Debtors turnover times times
High-Tex Limited Income Statement for the year ending 30 June 2019 ($’000) 2018 ($’000) Revenue - computer 9,600 8,300 Revenue - software 1,450 1,500 Total operating revenue 11,050 9,800 Cost of sales 5,400 5,195 Gross profit 5,650 4,605 Administration expense 1,250 950 Wages expense 600 500 Depreciation expense 225 225 Other expenses 480 435 Earnings before interest and tax 3,095 2,495 Interest expense 455 525 Profit before tax 2,640 1,970 Income tax expense 792 591 Profit for the period from continuing operations 1,848 1,379 High-Tex Limited Balance Sheet as at 30 June 2,019 ($’000) 2,018 ($’000) Current assets Cash 1,450 2155 Accounts receivable 1455 1,045 Inventories 755 980 Total current assets 3,660 4,180 Non-current assets Property, plant and equipment 6,780 7,150 Intangible assets 550 451 Total non-current assets 7,330 7,601 Total assets 10,990 11,781 Current liabilities Accounts payable 735 1145 Income tax payable 650 685 Accrued expenses 815 995 Total current liabilities 2,200 2,825 Non-current liabilities Bank loans 3,700 4,100 Provisions 585 415 Total non-current liabilities 4,285 4,515 Total liabilities 6,485 7,340 Net assets 4,505 4,441 Equity Share capital 2,000 2,000 Retained earnings 2,505 2,441 Total Equity 4,505 4,441 Additional information: The total equity as at 30 June 2017 is $4,185,000. The inventory as at 30 June 2017 is $915,000. The accounts receivable as at 30 June 2017 is $1,055,000. Question: You have been invited to calculate the following ratios for the company: Financial Ratios 2019 2018 Return on Assets (ROA) % % Return on equity (ROE) % % Profit Margin % % Gross profit margin % % Inventory turnover times times Debtors turnover times times
Chapter20: Corporations And Parterships
Section: Chapter Questions
Problem 40P
Related questions
Question
High-Tex Limited | ||
Income Statement for the year ending 30 June | ||
2019 ($’000) | 2018 ($’000) | |
Revenue - computer | 9,600 | 8,300 |
Revenue - software | 1,450 | 1,500 |
Total operating revenue | 11,050 | 9,800 |
Cost of sales | 5,400 | 5,195 |
Gross profit | 5,650 | 4,605 |
Administration expense | 1,250 | 950 |
Wages expense | 600 | 500 |
225 | 225 | |
Other expenses | 480 | 435 |
Earnings before interest and tax | 3,095 | 2,495 |
Interest expense | 455 | 525 |
Profit before tax | 2,640 | 1,970 |
Income tax expense | 792 | 591 |
Profit for the period from continuing operations | 1,848 | 1,379 |
High-Tex Limited | ||
Balance Sheet as at 30 June | ||
2,019 ($’000) | 2,018 ($’000) | |
Current assets | ||
Cash | 1,450 | 2155 |
Accounts receivable | 1455 | 1,045 |
Inventories | 755 | 980 |
Total current assets | 3,660 | 4,180 |
Non-current assets | ||
Property, plant and equipment | 6,780 | 7,150 |
Intangible assets | 550 | 451 |
Total non-current assets | 7,330 | 7,601 |
Total assets | 10,990 | 11,781 |
Current liabilities | ||
Accounts payable | 735 | 1145 |
Income tax payable | 650 | 685 |
Accrued expenses | 815 | 995 |
Total current liabilities | 2,200 | 2,825 |
Non-current liabilities | ||
Bank loans | 3,700 | 4,100 |
Provisions | 585 | 415 |
Total non-current liabilities | 4,285 | 4,515 |
Total liabilities | 6,485 | 7,340 |
Net assets | 4,505 | 4,441 |
Equity | ||
Share capital | 2,000 | 2,000 |
2,505 | 2,441 | |
Total Equity | 4,505 | 4,441 |
Additional information:
- The total equity as at 30 June 2017 is $4,185,000.
- The inventory as at 30 June 2017 is $915,000.
- The accounts receivable as at 30 June 2017 is $1,055,000.
Question: You have been invited to calculate the following ratios for the company:
Financial Ratios | 2019 | 2018 |
Return on Assets (ROA) | % | % |
Return on equity (ROE) | % | % |
Profit Margin | % | % |
Gross profit margin | % | % |
Inventory turnover | times | times |
Debtors turnover | times | times |
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