Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Prepare the Pro Forma Statement of Financial Position as at 31 December 2023 from the Statement of Financial Position and additional information provided below: Additional

image text in transcribedimage text in transcribedPrepare the Pro Forma Statement of Financial Position as at 31 December 2023 from the Statement of Financial Position and additional information provided below:

Additional information The following must be taken into account for 2023: - Sales are forecast at F60 000000 , with a profit margin of 10% and a gross margin of 30%. Fifty percent (50\%) of the sales is expected to be for cash and the balance is on credit. - The debtor colection period is expected to be 36.5 days. Additional information The following must be taken into account for 2023: - Sales are forecast at P60000000, with a profit margin of 10% and a gross margin of 30%. Fifty percent (50\%) of the sales is expected to be for cash and the balance is on credit. - The debtor collection period is expected to be 36.5 days. - All purchases of inventories are expected to be on credit and are esfimated to total R48 000000 . The credtor payment period is estimated to be 73 days. - Equipment with a cost price of R8 000000 is expected to be purchased on 01 July 2023. Total depreciation is expected to be R800 000 for the year. - The maturity dates of the fixed deposits are as follows: R8000001 May 2023 R120 00031 May 2025 - The loan balance is expected to be reduced by R60 000 . - The directors are expected to recommend a final dividend of R4 000 000, payable during 2024 . - A bank balance of 1% of sales is desired. - Ordinary share capital will remain unchanged. - The amount of external non-current funding required must be calculated (balancing figure)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Tor Tor And The Deep Web

Authors: Joshua Welsh

1st Edition

1542745373, 978-1542745376

More Books

Students also viewed these Finance questions

Question

What is focal length? Explain with a diagram and give an example.

Answered: 1 week ago

Question

What is physics and how does it apply in daily life?

Answered: 1 week ago