The following accounts have been prepared for Analyse plc.

Analyse plc

Statement of Financial Position as at 31 December 2015

2015

2014

000

000

ASSETS

Non-current assets

Property, plant and equipment

6,425

4,850

Total non-current assets

6,425

4,850

Current assets

Inventories

1,207

660

Trade receivables

2,385

1,460

Other current assets

130

145

Cash and cash equivalents

-

421

Total current assets

3,722

2,686

Total assets

10,147

7,536

EQUITY AND LIABILITIES

Equity attributable to equity holders of the parent

Share capital

3,000

3,000

Other reserves

1,000

1,000

Retained earnings

1,255

980

Total equity

5,255

4,980

Non-current liabilities

Long-term liabilities

1,300

1,300

Deferred tax

350

250

Total non-current liabilities

1,650

1,550

Current liabilities

Trade and other payables

595

406

Short-term borrowings

2,337

-

Current portion of long-term borrowings

-

325

Current tax payable

310

275

Total current liabilities

3,242

1,006

Total liabilities

4,892

2,556

Total equity and liabilities

10,147

7,536

Analyse plc

Statement of Profit and Loss

for the year ended 31 December 2015

2015

2014

000

000

Revenue

21,750

15,230

Cost of sales

-17,617

-12,032

Gross profit

4,133

3,198

Other income

16

15

Distribution costs

-1,224

-911

Administrative expenses

-1,402

-1,262

Finance costs

-328

-130

Profit before tax

1,195

910

Income tax expense

-320

-260

Profit for the period attributable to equity holders

875

650

Analyse plc

Statement of changes in equity

for the year ended 31 December 2015

Share capital

Other reserves

Retained earnings

Total equity

000

000

000

000

Opening balance

3,000

1,000

980

4,980

Profit and loss for the period

875

875

Distributions to equity holders

-600

-600

3,000

1,000

1,255

5,255

Further notes to the accounts:

The opening share capital figure of 3,000,000 consists of 3,000,000 1 ordinary shares.The market value of an ordinary share at 31 December 2015 was 4.80.

During the December 2015 the company redeemed 325,000 of 8% debentures which had been issued in 2010.

The increase in property, plant and equipment results from a major investment in a new manufacturing plant during the summer of 2015.This investment has lead to an increase in sales in the last quarter of the year.

Required:

1.Complete the shaded part of the following table of Analyse plc based on the above information.

Workings

2015

Workings

2014

Return on capital employed (ROCE)

(1195 + 328)/(10147 - 3242)

22.1%

Net profit margin

1523/21750

7.0%

Net asset turnover

21750/(10147-3242)

3.15

Gross profit margin

4133/21750

19.0%

Debtor days

2385/21750 x365

40 days

Creditor days

595/17617 x365

13 days

Stock days

1207/17617 x365

25 days

Cash conversion cycle

40 + 25 - 13

52 days

Fixed asset turnover

21750/6425

3.39

Current ratio

3722/3242

1.15

Quick ratio

(3722-1207)/3242

0.77

Capital gearing ratio

1300/(1650+5255)

18.8%

Debt/equity ratio

1300/5255

24.7%

Interest cover

1523/328

4.64

Return on equity

875/5255

16.7%

Dividend per share (DPS)

600/3000

0.20

Earnings per share (EPS)

875/3000

0.29

Dividend cover

875/600

1.45

Price/earnings ratio (PE ratio)

4.80/0.29

16.6

Payout ratio

600/875 or (0.20/.29)

68.6%

Dividend yield

0.20/4.80

4.2%

Earnings yield

0.29/4.80

6.0%