Prepare a variance analysis on the condensed financial statements as you have prepared them.
Prepare a variance analysis on the condensed financial statements as you have prepared them based on the company financial statement below.
Prepare a basic 5 year financial summary of accounts (or condensed financials) to include: revenues from operations, operating expenses, gross profit, admin and other expenses, profits before taxes, taxes profit for the year, other comprehensive income, total comprehensive income, non-current/current assets, non-current/current liabilities, share capital, other reserves, retained earnings. Prepare a variance analysis on the condensed financial statements as you have prepared them. Provide a brief analysis of the financial statements as you have prepared them and take into consideration the statements of cash flows over the years to help explain significant movements in the accounts. Highlight the areas of concern and provide questions that you may wish to ask the financial controller about the significant variances. [5 marks] \begin{tabular}{|c|c|c|c|c|c|} \hline \multicolumn{6}{|c|}{ Banks Holdings Limited } \\ \hline \multicolumn{6}{|c|}{5 Year Financial Summary of Accounts } \\ \hline \multicolumn{6}{|c|}{ For the year ended Dec 31st, 2022} \\ \hline & 2022 & 2021 & 2020 & 2019 & 2018 \\ \hline \begin{tabular}{l} Revenues from \\ Operations \end{tabular} & 142,699,000 & 126,564,000 & 129,496,339 & 182,089,110 & 191,761,656 \\ \hline \multicolumn{6}{|l|}{ Operating Expenses } \\ \hline Cost of Sales & & & (90,183,253) & (142,054,584) & (141,145,541) \\ \hline Gross Profit & 142,699,000 & 126,564,000 & 39,313,086 & 40,034,526 & 50,616,115 \\ \hline Other Income & & & 1,510,312 & 7,951,490 & 2,604,784 \\ \hline \begin{tabular}{l} Admin and Selling \\ Expenses \end{tabular} & & & (26,649,197) & (35,876,245) & (37,694,087) \\ \hline \begin{tabular}{l} Profit before Finance \\ Cost \end{tabular} & & & 14,174,201 & 12,109,771 & 15,526,812 \\ \hline Net Finance Cost & & & (1,159,847) & 11,913,024 & 78,524,128 \\ \hline Profit from Operations & & & 13,014,354 & 24,022,795 & 94,050,940 \\ \hline \begin{tabular}{l} Loss of Associated \\ Companies \end{tabular} & & & (3,713,796) & (196,047) & (1,070,663) \\ \hline Profit before Tax & 12,962,000 & 13,645,000 & 9,300,558 & 23,826,748 & 92,980,277 \\ \hline Taxes & (113,000) & (744,000) & (838,357) & 252,098 & (6,491,433) \\ \hline \begin{tabular}{l} Net Income Con't \\ Operations \end{tabular} & 12,849,000 & 12,901,000 & 8,462,201 & 24,078,846 & 86,488,844 \\ \hline Discoutinued Operations & & & & & (1,497,852) \\ \hline Net Income & 12,849,000 & 12,901,000 & 8,462,201 & 24,078,846 & 84,990,992 \\ \hline \begin{tabular}{l} Other Comprehensive \\ Income \end{tabular} & & & (15,625,575) & (5,904,828) & 7,928,106 \\ \hline \begin{tabular}{l} Total Comprehensive \\ Income \end{tabular} & 12,849,000 & 12,901,000 & 7,163,374 & 18,174,018 & 92,919,098 \\ \hline \multicolumn{6}{|l|}{ Assets } \\ \hline Current Assets & 343,029,000 & 341,027,000 & & & \\ \hline \begin{tabular}{l} Cash and Short-term \\ deposits \end{tabular} & & & 189,559,340 & 171,172,548 & 194,332,340 \\ \hline \begin{tabular}{l} Receivables and \\ Prepayments \end{tabular} & & & 24,330,441 & 27,501,117 & 135,647.771 \\ \hline Investments & & & 38,953,338 & 33,507,405 & 18,817,358 \\ \hline \end{tabular} Prepare a basic 5 year financial summary of accounts (or condensed financials) to include: revenues from operations, operating expenses, gross profit, admin and other expenses, profits before taxes, taxes profit for the year, other comprehensive income, total comprehensive income, non-current/current assets, non-current/current liabilities, share capital, other reserves, retained earnings. Prepare a variance analysis on the condensed financial statements as you have prepared them. Provide a brief analysis of the financial statements as you have prepared them and take into consideration the statements of cash flows over the years to help explain significant movements in the accounts. Highlight the areas of concern and provide questions that you may wish to ask the financial controller about the significant variances. [5 marks]
