Question 6. Black Current Ltd has sales of $ 935,000, Cost of goods sold of $602,000, selling expenses of $32,000, administrative expenses of $7,000, depreciation expenses of $40,000, interest expenses of $ 22,000 and corporate tax rate of 30%. Required: a) Calculate the gross profit and operating profit (EBIT) of the company? b) Build the income statement of the company and identify net income? c) If return on equity ratio of the company is 20% and number of outstanding shares are 80 000, calculate the shareholders equity and EPS Question

7. Blackwater Ltd has the following information Cash $1500, Account receivable (creditors) $2000, Inventory 1410, fixed assets of $10 000, Intangible assets 2 300, interest bearing borrowings of $7050 with 30% of them is payable within 12 months, retained profit $2000. Required: a) Calculate capital contributed by owner and build a balance sheet for the company Question

8. Golden Sand Ltd has current assets of $ 5 910, net fixed assets of $15 700, current liabilities of $5 570 and long term debts of $5 490. Required: a) Calculate shareholders equity and build a balance sheet for the company? b) How much is net working capital of the company? c) Calculate the return on assets of the company given the return on equity is 30%?