1. Case Analysis: Al Ismail Fashions (AIF) is a garment company, located in Alkbwair Muscat, which consists primarily of much smaller garment makers. Alf was started 12 years ago by Ahmed and Salim, who has over 15 years of experience with amaiergarment manufacturer and the partnership initially blended very well. Ahmed is extremely creative with a real talent for merchandising, Mainly as a result of his knowledge, the Alf is known for its quality and "in" fashions. Salim has contributed to merchandising and marketing ideas, but has mainly assumed the duties of the firm's chief operating officer. Ahmed has had little interest in the financial aspects of the Company as he preferred to work on fashion designing and development of marketing strategies. A few months ago, however, he decided that he had better become more involved with the company's financials. Ahmed want to analyse the financial statement of the company to know the current financial performance and positions of the company. The following are the financial details of the AlF. Liabilities OMR Assets OMR 27,800 Furniture 4,000 Equity share capital Accounts Payable 1,550 Cash in hand 4,500 2,550 Bills receivables 3,750 950 Land 9,000 Reserves and surplus Bills payable Long term borrowings Outstanding Salaries 6,520 Marketable securities 650 850 Cash in bank 5,250 Loan from Bank 3,450 Building 6,600 Preference share capital 5,265 Prepaid expenses 850 Bank overdraft 825 Cars & Trucks 3,350 Tax outstanding 590 Account Receivables 1,150 Inventory 2,150 Income earned but not received 430 Machinery 6,250 Equipment 2,220 Total 50,350 Total 50,350 Other information Particulars OMR Sales 330,000 Cost of goods sold 155,000 Administration expenses 33,000 Selling & Distribution exp. 44,000 Interest received (12,200 Rent Received 12,000 Commission received (1,750 As a Finance Manager of the company you are required to: Requirement: 1 Calculate the following from the Balance Sheet: Marks Total fixed assets 0.5 B Total long term liabilities 0.5 Total current assets 0.5 D Total current liabilities 0.5 E Shareholders' funds 0.5 F 0.5 Requirement: 2 Capital employed Calculate the following from the additional information given Gross profit Marks G 10.5 H Net profit 10.5 Requirement: 3 Calculate the following ratios: Marks Return on capital employed 1.0 Current ratio 1.0 K Liquid ratio 1.0 Return on Equity 1.0 IM Gross Profit & Net Profit Margin 10 lolo N Give a brief report on the financial position of the company based on the above figures 10