Pennylane Ltd

Statement of financial position as at 31^st December

20032004

Kshs'000Kshs'000

Non Current Assets:

Tangible assets400325

Intangible assets230180

Investments-25

630530

Current assets:

Stocks120104

Debtors400295

90-day deposit50-

Cash in hand104

580403

Creditors: amounts falling due within one year:$'000$'000

Trade credits122108

Bank overdraft188185

Taxation120110

430403

Net current assets1500

Total assets less current liabilities780530

Creditors: amounts falling due after one year:

Long term loan(100)-

Provision for liabilities and charges: deferred taxation(80)(60)

600470

Capital and reserves

Share capital ($1 ordinary shares)200150

Share premium account160150

Revaluation reserve10090

Profit and loss account14080

Total share capital and reserves600470

Additional information:

a)During the year interest of Kshs75,000 was paid, and interest of Kshs25,000 was received

b)The following information relates to tangible assets as at 31^st December:

20032004

Kshs'000Kshs'000

Costs740615

Accumulated depreciation(340)(290)

Carrying value400325

c)The proceeds of the sale of non current asset investment were Kshs30,000.

d)Plant, with an original cost of Kshs90,000 and a carrying value ofKshs50,000, was sold for Kshs37,000.

e)Tax paid to the inland revenue during 2003 amounted to Kshs110,000

f)Dividends of Kshs80,000 were paid during 2003.

NOTE: WHATS THE OPERATING PROFIT BEFORE TAXTION?