2a NNN 2b 9 2c Using the information given below in Table 1 and the ratios discussed in class. calculate for each year the; i) Current ratio Acid test ratio Return on capital employed Comment on the use of each ratio and the results obtained. WolveHDC Ltd have several projects, all of which will be completed within the current financial year. Their general head office overheads are estimated to be 190,000 and anticipated annual turnover estimated at 3,400,000 From the data below, show, a) The apportionment of overheads to each project. b) The total anticipated profit for the year. c) Whether the general overheads will be realised in view of the actual turnover. Project B D Site costs 75,250 653,270 1.410,000 975,400 Profit on total costs 4% 4% 3% 3% 20 Table 1- Task 2a Balance sheet (2000's) 2020 2019 Profit and Loss Account (2000's) 2020 2019 360 320 185 162 170 140 Fixed assets Investments Cash Debtors Stocks Work in progress Bank overdraft Creditors Net assets Share capital Reserves Long term loans Total capital 66 7 8 63 25 58 27 53 132 30 29 75 132 347 17 5 22 -7 60 Sales 6 Variable costs 10 Fixed costs 54 Trading profit 19 Interest received 54Gross profit 22 Interest paid 47 Net profit before tax 121 Tax 30 38 Attributable profit 50 (net after tax) 121 Dividend Transfer to reserves 310 13 3 16 -6 6 4 NON N 2a NNN 2b 9 2c Using the information given below in Table 1 and the ratios discussed in class. calculate for each year the; i) Current ratio Acid test ratio Return on capital employed Comment on the use of each ratio and the results obtained. WolveHDC Ltd have several projects, all of which will be completed within the current financial year. Their general head office overheads are estimated to be 190,000 and anticipated annual turnover estimated at 3,400,000 From the data below, show, a) The apportionment of overheads to each project. b) The total anticipated profit for the year. c) Whether the general overheads will be realised in view of the actual turnover. Project B D Site costs 75,250 653,270 1.410,000 975,400 Profit on total costs 4% 4% 3% 3% 20 Table 1- Task 2a Balance sheet (2000's) 2020 2019 Profit and Loss Account (2000's) 2020 2019 360 320 185 162 170 140 Fixed assets Investments Cash Debtors Stocks Work in progress Bank overdraft Creditors Net assets Share capital Reserves Long term loans Total capital 66 7 8 63 25 58 27 53 132 30 29 75 132 347 17 5 22 -7 60 Sales 6 Variable costs 10 Fixed costs 54 Trading profit 19 Interest received 54Gross profit 22 Interest paid 47 Net profit before tax 121 Tax 30 38 Attributable profit 50 (net after tax) 121 Dividend Transfer to reserves 310 13 3 16 -6 6 4 NON N
