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please is the requirements thanks. Question Three You are a graduate from one of the reputable universities in Ghana with BSc Accounting degree working with
please is the requirements thanks.
Question Three You are a graduate from one of the reputable universities in Ghana with BSc Accounting degree working with one of the finance houses in Accra that specializes in provision of project capital support to medium to large firms. Your institution recently received an application for project financing from Gbadago Enterprise Limited. This application has been assigned to your team for initial evaluation and analysis. Enclosed with the application package is Gbadago Enterprise Limited's Common Size Statement of Financial Position for the years ended 31 December as set outbelow: 2013 2012 2011 Non-Current Assets % % Property, Plant and Equipment 53.23 51.12 51.96 Current Assets Inventories 20.15 20.03 22.42 Trade Receivables 13.82 14.99 12.38 Cash & Bank Balances 12.80 13.86 13.24 46.77 48.88 48,04 Total Assets 100.00 100.00 100.00 Current Liabilities Creditors 7.62 7.41 25.50 Bank Overdraft 2.04 1.36 6.22 Long-Term Liabilities Loans 2.72 13.81 9.86 Net Assets 87.63 77.42 58.42 Represented By: Stated Capital 15.94 16.64 16.63 Income Surplus 57.18 45.63 26.65 Revaluation Surplus 2.54 2.66 2.65 Capital Surplus 11.96 12.49 12.48 87.63 77.42 58.42 GOOD FYG/ABM Required: a) As the team head, you are required to present a project report that set out your evaluation of the financial performance of Gbadago Enterprise Limited for the relevant years. You are to ensure that your evaluation report covers profitability, liquidity and gearing analysis as well as your recommendations (if any) and basis oftherecommendations. (12marks) b) Enumerate at least four (4) limitations offinancialratios. (4marks) c) Explain why Gbadago Enterprise Limited seeks for external sources of finance despite its high amount ofretainedearnings? (4marks) unction Sour Question Three You are a graduate from one of the reputable universities in Ghana with BSc Accounting degree working with one of the finance houses in Accra that specializes in provision of project capital support to medium to large firms. Your institution recently received an application for project financing from Gbadago Enterprise Limited. This application has been assigned to your team for initial evaluation and analysis. Enclosed with the application package is Gbadago Enterprise Limited's Common Size Statement of Financial Position for the years ended 31 December as set outbelow: 2013 2012 2011 Non-Current Assets % % Property, Plant and Equipment 53.23 51.12 51.96 Current Assets Inventories 20.15 20.03 22.42 Trade Receivables 13.82 14.99 12.38 Cash & Bank Balances 12.80 13.86 13.24 46.77 48.88 48,04 Total Assets 100.00 100.00 100.00 Current Liabilities Creditors 7.62 7.41 25.50 Bank Overdraft 2.04 1.36 6.22 Long-Term Liabilities Loans 2.72 13.81 9.86 Net Assets 87.63 77.42 58.42 Represented By: Stated Capital 15.94 16.64 16.63 Income Surplus 57.18 45.63 26.65 Revaluation Surplus 2.54 2.66 2.65 Capital Surplus 11.96 12.49 12.48 87.63 77.42 58.42 GOOD FYG/ABM Required: a) As the team head, you are required to present a project report that set out your evaluation of the financial performance of Gbadago Enterprise Limited for the relevant years. You are to ensure that your evaluation report covers profitability, liquidity and gearing analysis as well as your recommendations (if any) and basis oftherecommendations. (12marks) b) Enumerate at least four (4) limitations offinancialratios. (4marks) c) Explain why Gbadago Enterprise Limited seeks for external sources of finance despite its high amount ofretainedearnings? (4marks) unction SourStep by Step Solution
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