Swizzle Limited produces a range of alcoholic and soft drinks and also owns a number of public houses and inns. The company’s latest published accounts have been summarised as follows

The notes to the accounts state that the company revalued its non-industrial properties on 31 December 2017. It is company policy not to provide depreciation on these properties, but to maintain them out of revenue expenditure to a standard that ensures their estimated aggregate realisable value exceeds their net book amounts. During year ended 31 December 2016 and 2017, €200,600 and €250,000 were debited to equity in respect of dividends.
Requirement Prepare a report for the Managing Director of Swizzle Limited on the financial performance of the company during 2017. Insofar as the information provided permits, your report should include appropriate ratios and be presented under the following main headings:

(a) Profitability;

(b) Assets utilisation;

(c) Solvency; and

(d) Gearing.

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SUMMARISED STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME for the Years Ended 31 December Revenue Operating profit Income from other non-current asset investments. Finance costs Profit before taxation Income tax expense Profit for the year Assets Non-current assets STATEMENTS OF FINANCIAL POSITION as at 31 December Property, plant and equipment Investments 2017 2016 000 000 10,800 8,600 1,405 1,032 43 31 (470) (260) 978 803 (298) (203) 680 600 2017 2016 000 000 14,180 8,120 480 350