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Kindly answer following questions. (25 marks) Question 4 Toto Sdn Bhd and JY Sdn Bhd each carry on business as wholesalers of the same product.
Kindly answer following questions. (25 marks)
Question 4 Toto Sdn Bhd and JY Sdn Bhd each carry on business as wholesalers of the same product. Their financial statements for the year ended 31 December 2019 are summarised below. Statement of comprehensive income for the year ended 31 December 2019. Toto Sdn Bhd JY Sdn Bhd RM'000 RM000 RM'000 RM000 Sales 3.600 4,350 Cost of goods sold (2,700) (3,480) Gross Profit 870 Expenses Administration 450 450 Interest 30 Selling 150 600 190 670 Net profit before tax 300 200 Tax 120 90 Net profit after tax 800 110 Dividends 45 60 Retained profit 135 50 900 6/- Statement of financial position as at 31 December 2019, Toto Sdn Bhd RM'000 RM'000 1,200 JY Sdn Bhd RM'000 RM000 960 Non-current assets 825 Current assets Stock Accounts receivable Bank Total asses 900 75 485 750 5 1,800 3,000 1.240 2,200 Share capital and reserves Share capital Reserves 1,500 7335 500 270 10% debenture 300 Current liabilities Bank Overdraft Accounts payable 80 1.050 765 765 3,000 1.130 2,200 Required: Using the above information, calculate two(2) profitability ratios, two(2) activity ratios and one(1) liquidity ratio for the two companiesStep by Step Solution
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