Statement of Financial Conditio20PY 20CY

Cash 150000 283000

Marketable Securities
Accounts Recievables, net
Inventories Dividends on common 162000
Land market price per share on common stock 18
Building, Net
Machinery and Equipment, net
Goodwill
Other Assets (Deffered Charges)
Notes Payable, Trade
Accounts Payable, net
Expenses Payable
Long-term notes- due 2014
15% Prefferred Stock, P100 Par
Common Stock P10 Par
Reatained Earnings

20CY Statement of Comprehensive Icome Accounts

Sales
Sales Return & allow.
Inventory, Dec31, 20CY
Inventory, Dec31, 20PY
Purchases
selling expenses
administrative expenses (including depreciation of 250,000)
interest on LT Notes

ADDITIONAL INFO:
Dividends on prefferred 75000
Dividends on common 162000
market price per share on common stock 18
income taxes 32%
 A B C D E F G H I
1 No. 1 Increase and (Decrease)
2 Statement of Financial Conditio 20PY 20CY Pesos Percent
3
4 Cash 150000 283000 133000 88.66667
5 Marketable Securities 850000 1000000 150000 17.64706
6 Accounts Recievables, net 500000 1000000 500000 100
7 Inventories 750000 500000 -250000 -33.33333
8 Total Current Asset 2250000 2783000 533000 23.68889
9
10 Non-Current Asset
11 Land 500000 500000 0 0
12 Building, Net 550000 500000 -50000 -9.090909
13 Machinery and Equipment, net 1700000 1500000 -200000 -11.76471
14 Goodwill 400000 400000 0 0
15 Other Assets (Deffered Charges) 100000 90000 -10000 -10
16 Total Non- Current Asset 3250000 2990000 -260000 -8
17
18 Total Asset 5500000 5773000 273000 4.963636
19
20 LIABILITY AND STOCKHOLDER'S EQUITY
21
22 Current Liability
23 Notes Payable, Trade 100000 150000 50000 50
24 Accounts Payable, net 610000 790000 180000 29.5082
25 Expenses Payable 40000 60000 20000 50
26 Total Current Liability 750000 1000000 250000 33.33333
27
28 Non-Current Liability
29 Long-term notes- due 2014 2500000 2250000 -250000 -10
30
31 Stockholder's Equity
32 15% Prefferred Stock, P100 Par 500000 500000 0 0
33 Common Stock P10 Par 1500000 1500000 0 0
34 Reatained Earnings 250000 523000 273000 109.2
35 Total Stockholder's Equity 2250000 2523000 273000 12.13333
36
37 TOTAL LIABILITY AND STOCKHOLDER'S EQUITY
38 5500000 5773000 273000 4.963636
39
40
41 20CY Statement of Comprehensive Income Accounts (No.2)
42 Sales 5250000 105
43 LESS: Sales Return & allow. 250000 5
44 Net sales 5000000 100
45
46 Cost of Goods Sold:
47 Inventory, Dec31, 20PY 750000 15
48 add:Purchases 2750000 55
 A B C D E F G H I
49 Total goods available for sale 3500000 70
50 less: Inventory, Dec31, 20CY 500000 10
51 Cost of Goods Sold 3000000 60
52
53 Gross Margin on Sale
54
55 Selling and Adminstrative Expenses:
56 selling expenses 400000 8
57 administrative expenses (including deprecia 600000 12
58 Total Selling and Adminstrative Expenses: 1000000 20
59
60 Net Operating Expense 1000000 20
61 less: interest on LT Notes 250000 5
62
63
64 Net income Before income tax 750000 15
65 income taxes 32% 262500 5.25
66
67 NET INCOME 487500 9.75
68
69 COMPRATIVE COMMON SIZE STATEMENT (NO.3)
70
71 ASSETS 20PY 20CY Percent (2 Percent (20CY)
72
73 Cash 150000 283000 2.727273 4.902131
74 Marketable Securities 850000 1000000 15.45455 17.32202
75 Accounts Recievables, net 500000 1000000 9.090909 17.32202
76 Inventories 750000 500000 13.63636 8.661008
77 Total Current Asset 2250000 2783000 40.90909 48.20717
78
79 Non-Current Asset
80 Land 500000 500000 9.090909 8.661008
81 Building, Net 550000 500000 10 8.661008
82 Machinery and Equipment, net 1700000 1500000 30.90909 25.98302
83 Goodwill 400000 400000 7.272727 6.928807
84 Other Assets (Deffered Charges) 100000 90000 1.818182 1.558981
85 Total Non- Current Asset 3250000 2990000 59.09091 51.79283
86
87 Total Asset 5500000 5773000 100 100
88
89 LIABILITY AND STOCKHOLDER'S EQUITY
90
91 Current Liability
92 Notes Payable, Trade 100000 150000 1.818182 2.598302
93 Accounts Payable, net 610000 790000 11.09091 13.68439
94 Expenses Payable 40000 60000 0.727273 1.039321
95 Total Current Liability 750000 1000000 13.63636 17.32202
96
 A B C D E F G H I
97 Non-Current Liability
98 Long-term notes- due 2014 2500000 2250000 45.45455 38.97454
99
100 Stockholder's Equity
101 15% Prefferred Stock, P100 Par 500000 500000 9.090909 8.661008
102 Common Stock P10 Par 1500000 1500000 27.27273 25.98302
103 Reatained Earnings 250000 523000 4.545455 9.059415
104 Total Stockholder's Equity 2250000 2523000 40.90909 43.70345
105
106 TOTAL LIABILITY AND STOCKHOLDER'S EQUITY
107 5500000 5773000 100 100
108
109 NO.4 A SHORT TERM SOLVENCY OF 20CY
110 NET WORKING CAPITAL = 2783000 1000000 1783000
111
112 NET MONETARY ASSETS = 2283000 1000000 1283000
113
114 CURRENT RATION (WORKING2783000 1000000 2.783 2.783:1
115
116 QUICK RATIO (ACID-TEST RA2283000 1000000 2.283 2.283:1
117
118 4.5
119 Net Income 487500
120 Add: Depreciation 250000
121 Inc. in Accounts Receivable -500000
122 Dec. in Inventories 250000
123 Inc. in Note Payables 50000
124 Inc. in Accounts Payable, Trade 180000
125 Inc. in Expenses Payable 20000 250000
126
127 Cash flow from operations 737500
128 1000000
129 Cash flow from operations to current liability 0.7375
130
131 No. 5
132
133 5A 1
134 Inventory Turn Over = Cost of SalAverage Inventory
135 3000000 1250000
136 3000000 625000 4.8 times
137
138 5B 2
139
140 Age of Inventory No. of BusInventory Turn Over
141 300 4.8 62.5 days
142
143 5C 3
144
 A B C D E F G H I
145 receivable turnover net credit s ave. receivable
146 5000000 1500000
147 5000000 750000 6.666667 times
148
149 5D 4
150
151 age of receivables = no. of busiReceivable Turnover
152 300 6.67 44.97751 or 45 Days
153
154 5E 5
155
156 Operating Cycle = Age of InvAge of Receivables
157 62.5 45 107.5 days
158
159
160 5F 6
161 Percentage Distribution of Current Assets =
162 Individual Total Current Assets
163 ASSETS 20CY
164
165 Cash 283000 2783000 0.101689 10.16888
166 Marketable Securities 1000000 2783000 0.359324 35.93245
167 Accounts Recievables, net 1000000 2783000 0.359324 35.93245
168 Inventories 500000 2783000 0.179662 17.96622
169 Total Current Asset 2783000
170
171 5G 7
172
173 Ratio of current asstes to total asset
174 Current AsTotal Asset
175 ASSETS 20CY 20CY percentage
176
177 Cash 283000 5773000 0.049021 4.902131
178 Marketable Securities 1000000 5773000 0.17322 17.32202
179 Accounts Recievables, net 1000000 5773000 0.17322 17.32202
180 Inventories 500000 5773000 0.08661 8.661008
181
182 NO. 6
183
184 6A 1
185
186 Debt Utilization =
187 Total LiabilTotal Asset
188 3250000 5773000 0.562966 .56:1
189
190 6B 2
191
192 Equity Ratio =
 A B C D E F G H I
193 Total OwneTotal Assets
194 2523000 5773000 0.437034 .44:1
195
196 6C 3
197
198 Debt-Equity Ratio =
199 Total LiabilTotal Owner's Equity
200 3250000 2523000 1.288149 1.29:1
201
202 6D 4
203
204 Equity-Debt Ratio =
205 Total OwneTotal Liabilities
206 2523000 3250000 0.776308 .78:1
207
208 6E 5
209
210 Book Value per Share=
211 Total OwneOutstanding Share
212 2023000 150000 13.48667
213
214 6F 6
215
216 Cash flow from operations to total liabilities =
217 Cash Flow Average Total Liabilities
218 Net Income 487500 3250000
219 Add: Depreciation 250000
220 Inc. in A/R -500000
221 Dec. in Inventory 250000
222 Inc. in Notes Payable 50000
223 Inc. in Accounts Paya 180000
224 Inc. in ExpensesPayab 20000
225 737500 1625000 0.453846 45.38462 %
226
227 6G 7
228
229 Times Interest Earned Ratio =
230 EBIT (EarnInterest
231 1000000 250000 4 times
232
233 6H 8
234
235 Debt-Service Coverage Ratio =
236 EBIT Interest+ Principal/1-tax rate
237 1000000 250000 4 :1
238
239 6I 9
240
 A B C D E F G H I
241 Times Preferred Dividends Earned =
242 Net Incom Annual Preferred Dividends
243 487500 75000 6.5 times
244
245 no. 7 EVALUATION OF THE OVER-ALL EFFICIENCY
246
247 7A 1
248 Asset Turnover = Net Sales Ave. Total Assets
249 5000000 5500000 PY
250 5773000 CY
251 11273000
252 5000000 5636500 0.887075 .89:1
253
254 7B 2
255
256 Current Assets Turnover =
257 Cost of Sa Ave. Current Assets
258 4000000 2250000 PY
259 2783000 CY
260 5033000
261 4000000 2516500 1.589509 Times
262
263 7C 3
264
265 Fixed Assets Turnover
266 Net Sales Ave, Fixed Assets
267 PY CY
268 500000 500000
269 550000 500000
270 1700000 1500000
271 2750000 2500000
272 5000000 5250000
273 5000000 2625000 1.904762 times
274
275 7D 4
276
277 Working Capital Turnover =
278 Net Sales Ave. Net Working Capital
279 5000000 PY CY
280 2250000 2783000 Current Assets
281 750000 1000000 Current Liability
282 1500000 1783000 3283000
283 5000000 1641500 3.045995
284
285 7E 5
286
287 Equity Turnover
288 Net Sales Ave. Owner's Equity
 A B C D E F G H I
289 2250000 PY
290 2523000 CY
291 5000000 4773000 2386500 2.095118
292
293 NO. 8 EVALUATION OF PROFITABILITY
294
295 8A 1
296
297 Gross Margin Ratio
298 Gross MargNet Sales
299 Net Sale 5000000
300 COGS 3000000
301 2000000 5000000 0.4 .4:1
302
303 8B 2
304
305 Operating Ratio
306 cost of sal Net Sales
307 4000000 5000000 0.8 :1
308
309 8C 3
310
311 Return on Sales = Net Incom Net Sales
312 487500 5000000 0.0975 times
313
314 8D 4
315
316 Return on Assets = Net Incom Ave. Total Assets
317 487500 5636500 0.08649
318
319 8E 5
320
321 Return on Current Assets
322 Net Incom Ave. Current Assets
323 487500 2516500 0.193721
324
325 8F 6
326
327 Return on Fixed Asset
328 Net Incom Ave. Fixed Asset
329 487500 2625000 0.185714
330
331 8G 7
332
333 Return on Equity = Net Incom Ave. Owner's Equity
334 487500 2250000 PY
335 2523000 CY
336 487500 4773000 2386500 0.204274
 A B C D E F G H I
337
338 8H 8
339
340 Earnings per Share
341 Net Incom No. of Common Share Outstanding
342 487500 150000 3.25
343
344 8I 9
345
346 Dividends per Share Dividends No. of Common Shares Outstanding
347 162000 150000 1.08
348
349 8J 10
350
351 Dividends Payout Ratio
352 Dividends Earnings per Share
353 1.08 3.25 0.332308 :1
354
355 8K 11
356
357 Earning-Price Ratio
358 Earnings pMarket Price per Share
359 3.25 18 0.180556 :1
360
361 8L 12
362
363 Yeild on Common
364 Dividends Market Price per Share
365 1.08 18 0.06 6 or 6%
JOY ENTERPRISE

Assets 1-Jan Dec. 31

Cash 600000 800000

Notes Receivable 200000 300000
Accounts Receivable 800000 1000000
Inventory 800000 480000
Equipment 600000 640000
Total Asset 3000000 3220000

Liabilities 1-Jan Dec. 31

Notes Payable 360000 240000

Accounts Payable 600000 520000
Interest Payable 40000 20000
Unearned Rent Income 60000 20000
Total Liabilities 1060000 800000

Receipt Disbursement

Balance, Jan 1 600000 Accounts Payable 760000

Accounts Receivable 1500000 Notes Payable 640000
Notes Receivable 480000 Cash Purchases 30000
Cash Sale 400000 Interest Paid 80000
Rent Collection 40000 Expenses paid 670000
Sales of Equipment co 60000 Equipment Purchase 200000
100,000 - 30 % Depreciated Withdrawals 200000
Additional Investmen 300000
Total 3380000 Total 2580000

balance, Dec 31 800000

Additional Info:

Sales Return and allowances granted to customers 160000

Sales discount granted to customer 50000
uncollectible account written off 60000
purchase discounts on account payable paid 50000
purchase returns on merchandise purchase 40000

Required

A.

Net Income or loss for the year ending Dec. 31 CY:

Capital, Dec 31, 2420000
Add: Withdrawals during 20CY 200000
Total: 2620000
Less: Capital, Jan 1 1940000
Less: Additional Investment 300000
Net Income 380000

Compute the Total gross sales

Notes Recievable, Dec 31 300000

Accounts Receivable, Dec 31 1000000
Collection of Notes Receivable 480000
Collection of Accounts Receivable 1500000
Sales Return and Allowances 160000
Sales Discounts 50000
Uncollectible written off - bad debt 60000
Total 3550000
Less: Notes Receivable, Jan 1 200000
Less: Accounts Receivable, Jan 1 800000
Sales on Account 2550000
Cash Sales 400000
Total Gross Sales 2950000

C.

Compute the total gross purchase

Notes Payable, Dec 31 240000

Accounts Payable, Dec 31 520000
Payments of Notes Payable 640000
Payments of Accounts Payable 760000
Purchase Discounts 50000
Total 2210000
Less: Notes Payable, Jan 1 360000
Less: Accounts Payable, Jan 1 600000
Purchase on Account 1250000
Cash Purchase 30000
Total Gross Purchase 1280000

D.

Compute the interest expense

Interest Paid 80000

add: interest payable - dec 31 20000
total 100000
less: interest payable - jan 1 40000
Interest Expense 60000

E.

Rent Income

Rent income Received 40000

Add: Unearned rent income - Jan 1 60000
Total 100000
less: Unearned income - Dec 31 20000
Rent income Received 80000

F.

Depreciation on Equipment

Equipment on Jan 1 600000

add: equipment purchase 200000
total 800000
less: equipment on dec 31 640000
less: sales of equipment cost 60000
Depreciation Expense 100000

G.

Gain on Sale of Equipment

Selling Price 100000

Less: sales of equipment loss 60000
Gain on Sale of Equipment 40000

H.

Statement of Comprehensive Income

Sales 2950000
Less: Sale Discounts 50000
Less: Sales Returns and Allowance 160000
Net Sales 2740000
Cost of Sales
Gross Profit
Rent Income
Gain on Sale of Equipment
Total Income
Less Expenses:
cash Expenses
Depreciation Expense
Bad Debts Expense
Interest Paid
Profit