AFE 5008-B Financial Accounting Assignment ANSWER ALL FOUR QUESTIONS: Question 1: The following information has been extracted from the draft financial statements of Bradford Ltd for the year ended 31 October 2020. All figures are expressed in E000s Income statement for the year ended to 31 October 2020 Sales Cost of sales Gross profit Less: Expenses Operating profit Interest expense Interest income Loss on disposal of non-current asset Profit before taxation 106 (14) 92 (12) 80 (4) 3 (9) 70 Taxation Profit after taxation Balance sheet as at (36) 34 31 October 2020 31 October 2019 Non-current assets 1,650 1,240 Current assets Inventory 470 165 Trade receivables 188 201 Cash at bank 220 0 Total assets 2,528 1,606 Current liabilities Bank overdraft Trade payables 860 50 400 Non-current liabilities Long-term bank loan 284 356 Equity Share capital (1) 526 422 Share premium 375 178 Other reserves 483 194 Total equity and 2,528 1,606 lability Page 3 of 12