Solution 14.4 – Zebra Ltd

 

 Trading, Profit & Loss, Appropriation A/C year ended 31/8/04

 

€’000

€’000

€’000

Sales

 

3,700

 

- Returns In

 

(18)

3,682

Less cost of sales

 

 

 

Opening stock

 

180

 

Purchases

1,860

 

 

+ Carriage In

22

 

 

- Returns Out

(26)

1,856

 

Closing stock

 

(162)

 

Cost of goods sold

 

 

(1,874)

GROSS PROFIT

 

 

1,808

Add gains or other income

 

 

 

Rent received

 

38

 

Discount received

 

27

65

Less expenses

 

 

 

Administration costs

715

 

 

+ Due

4

719

 

Sales & Distribution costs

475

 

 

- Prepayment

(8)

467

 

Discount allowed

 

38

 

Carriage out

 

13

 

Annual deprec - premises (1500 x 2%)

 

30

 

Annual deprec - vehicles (700 x 10%)

 

70

 

Annual deprec - F&E (450 x 20%)

 

90

(1,427)

NET OPERATING PROFIT

 

 

446

Less Debenture Interest paid

 

18

 

       Debenture Interest due

 

9

(27)

Net Profit before tax

 

 

419

Less Corporation tax

 

 

0

Net Profit after Interest and Tax

 

 

419

APPROPRIATIONS:

 

 

 

Transfer to reserves

 

 

(32)

Dividend policy

 

 

 

Interim ordinary dividend paid

 

15

 

Proposed final ordinary dividend (300,000 x .30)

90

 

Preference share dividend provided for (350 x10%)

35

(140)

Retained profit for the year

 

 

247

+ Retained profit b/f

 

 

83

= Retained profit c/f

 

 

330

 

Balance sheet as at 31/8/04                                         

 

€’000

€’000

€’000

Fixed assets

Cost

Accum.

Deprec.

NBV

Premises

1,500

(120)

1,380

Vehicles

980

(350)

630

Furniture & equipment

450

(200)

250

 

2,930

(670)

2,260

Current assets

 

 

 

Closing stock

 

162

 

Prepaid - dist costs

 

8

 

Bank

 

30

 

Debtors

 

300

 

 

 

500

 

Current liabilities

 

 

 

Accrual - admin due

4

 

 

Creditors

155

 

 

Debenture interest due

9

 

 

Proposed final ordinary dividend

90

 

 

Preference share dividend

35

(293)

207

 

 

 

 

Long term liabilities

 

 

 

 12% Debenture loan

 

 

(225)

 

 

 

2,242

 

 

 

 

Capital and Reserves

 

 

 

  Ordinary share capital (300,000 @ €5)

 

 

1,500

  10% Preference share capital

 

 

350

  General reserve (30,000 + 32,000)

 

 

62

P & L reserve

 

 

330

 

 

 

2,242