Director Bustehode of Bustehode &Snn AS is panicking because the CFO is on holiday. He should have
Question:
Director Bustehode of Bustehode &Sønn AS is panicking because the CFO is on holiday. He should have had his company's balance sheet budget ready for the bank's board of directors today, and the CFO has not said where he might find it. So you're going to have to help him with this. Below you will find data you can use in your work.
Result budget | |
Income | 37800 |
cost of goods | -19600 |
Maple | -3375 |
Miscellaneous costs | -6960 |
Depreciation | -1620 |
Earnings | 6245 |
Interest costs | -390 |
Profit before tax | 5855 |
Tax | -1288,1 |
Net income | 4566,9 |
incoming balance | |||
Fixed assets | 12716 | Capital surplus | 5168 |
Stock of goods | 4760 | Long-term liabilities | 10880 |
Accounts receivable | 5304 | overdrafts | 1265 |
Bank | 1360 | Accounts payable | 4107 |
Miscellaneous current liabilities | 2720 | ||
Total Assets | 24140 | Total Capital surplus /Liabilities | 24140 |
Assumptions that will form the basis for the balance sheet budget:
Inventory turnover | 4 |
Customer credit time in days | 42 |
Credit-time vendors in days | 62 |
Installment of long-term debt | 800 |
Investment in fixed assets | 3200 |
Reduction in various current liabilities | 1568,3 |
Reduction of credit | 860 |
Reduction bank | 180 |
Book value sold fixed asset | 250 |
Use 365 days | |
Sales tax 25% | |
Use a decimal and follow common rounding rules. |
Auditing a risk based approach to conducting a quality audit
ISBN: 978-1133939153
9th edition
Authors: Karla Johnstone, Audrey Gramling, Larry Rittenberg