Statement of comprehensive income For the year ended 29 December 2018 2017 2018 $ Notes Revenue Cost of sales of goods Gross profit 16,245,900 (7,270,758) 8,975,142 18,375,429 (6,526,833) 11,848,596 4,766 7,259 Other Income Other expenses from ordinary activities Operating expenses Finance expense (10,563,023) (12,645,337) (12,165) (16,257) (10,575,188) (12,661,594) 3 (1,595,280) (805,739) 13,626 3,014 Loss before income tax Income tax benefit Net loss for the period attributable to owners Other comprehensive income Comprehensive loss for the period attributable to owners (1,581,654) (802,725) 2 (1,581,654) (802,725) The above statement of comprehensive income should be read in conjunction with the accompanying notes Statement of financial position As at 29 December 2018 2018 $ 2017 $ Notes 5 6 865,794 926,754 2,830,213 1,608,617 1,520,273 2,318,888 Current Assets Cash and Cash equivalents Trade and other receivables Inventories Tax refund due Non Current assets Property plant and equipment Deferred tax assets 4,622,761 5,447,778 7 4 1,487,356 326,283 1,813,639 1,828,688 312,657 2,141,345 6,436,400 7,589,123 Total Assets Current liabilities Trade and other payables Provisions Non-current Liabilities Trade and other payables Provisions 8 9 1,952,521 581,015 2,533,536 1,631,603 356,505 1,988,108 8 9 727,268 194,762 922,030 3,455,566 760,094 278,433 1,038,527 3,026,635 Total liabilities 10 Equity Contributed equity Retained earnings Total equity 1,191,264 1,789,570 2,980,834 1,191,264 3,371,224 4,562,488 Total liabilities and equity 6,436,400 7,589,123 Statement of changes in equity For the year ended 29 December 2018 Total Contributed Equity 1,191,264 Retained Earnings 3,371,224 (1,581,654) 4,562,488 (1,581,654) At 31 December 2017 Loss for the year Other comprehensive income Total comprehensive loss for the year At 29 December 2018 (1,581,654) (1,581,654) 1,191,264 1,789,570 2,980,834 1,191,264 4,173,949 (802,725) 5,365,213 (802,725) At 1 January 2017 Loss for the year Other comprehensive income Total comprehensive loss for the year At 30 December 2017 (802,725) (802,725) 1,191,264 3,371,224 4,562,488 Statement of cash flows For the year ended 29 December 2018 2018 2017 $ Notes 19,191,577 (19,540,238) 4,766 (12,165) 18,278,861 (18,638,384) 5,777 (47) 126,358 (227,435) (356,060) Operating activities Revenue generated from trading Payments to suppliers and employees Interest received Interest paid Tax refund/(paid) Net cash flows (used in)/from operating activities Investing activities Investment in property, plant and equipment Net cash flows used in investing activities Financing activities Net Cashflows from/(used in) financing activities Net decrease in total cash and cash equivalents Cash and cash equivalents at beginning of period Cash and cash equivalents at 29 December (386,763) (386,763) (775,477) (775,477) (742,823) 1,608,617 865,794 (1,002,912) 2,611,529 1,608,617 a. Complete the table below by calculating and commenting on the profitability, liquidity and solvency ratios for 2018 and 2017 for Jeanswest New Zealand. You need to include the formula and workings for each ratio. (16 marks) Ratios Workings and Workings and Identify one causal factor and a brief answers for 2018 answers for 2017 explanation for the trend 1. Gross profit percentage 2. Current ratio (or working capital ratio) 3. Liquid ratio (or quick asset ratio) 4. Gearing (or debt to equity ratio)