Solution 14.4 – Fast Food Ireland
(a) Statement of Comprehensive Income for year 31 March
|
Sales |
|
|
242,743 |
|
Less cost of sales |
|
|
|
|
Opening stock |
|
4,500 |
|
|
Purchases |
78,000 |
|
|
|
Carriage in |
525 |
78,525 |
|
|
less closing stock |
|
(3,780) |
|
|
Cost of sales |
|
|
(79,245) |
|
Gross Profit |
|
|
163,498 |
|
Add Gains and other income |
|
|
|
|
Rental income |
|
|
24,000 |
|
Less Expenses |
|
|
|
|
Wages and salaries |
|
81,938 |
|
|
Motor expenses |
|
8,250 |
|
|
Insurance |
|
9,568 |
|
|
Rates |
|
15,897 |
|
|
Advertising |
|
9,870 |
|
|
Light and heat |
|
4,520 |
|
|
Telephone |
|
4,320 |
|
|
General expenses |
|
9,353 |
|
|
Bad debts |
|
2,560 |
|
|
Provision for depreciation F&F |
|
6,500 |
|
|
Provision for depreciation Equipment |
|
4,000 |
|
|
Provision for bad debts |
|
500 |
(157,276) |
|
Net profit Before Interest |
|
|
30,222 |
|
- Interest |
|
|
(13,000 ) |
|
Net Profit before tax |
|
|
17,222 |
|
- Corporation tax |
|
|
(2,300) |
|
Net profit after Tax |
|
|
14,922 |
(b) Statement of Equity Changes for year ended 31 March
|
|
Ordinary shares |
Share Prem |
Reval reserve |
General reserve |
Retained /accumulated profit |
>Total |
|
|
€ |
|
€ |
€ |
€ |
€ |
|
Balance |
250,000 |
20,000 |
100,000 |
12,560 |
12,000 |
394,560 |
|
Profit after tax |
|
|
|
|
14,922 |
14,922 |
|
Dividend |
|
|
|
|
(5,000) |
(5,000) |
|
Transf to reserve |
|
|
|
3,000 |
(3,000) |
|
|
Balance at |
250,000 |
20,000 |
100,000 |
15,560 |
18,922 |
404,482 |
Statement of Financial Position as at 31 March
|
ASSETS |
€ |
€ |
€ |
|
Non-Current Assets |
Cost |
Acc dep |
NBV |
|
Land and buildings |
500,000 |
- |
500,000 |
|
Equipment |
45,000 |
(29,000) |
16,000 |
|
Fixtures and fittings |
65,000 |
(41,500) |
23,500 |
|
|
610,000 |
(70,500) |
539,500 |
|
Current Assets |
|
|
|
|
Inventory |
|
3,780 |
|
|
Accounts receivable |
2,500 |
|
|
|
Less provision |
(500) |
2,000 |
|
|
Prepayments |
|
2,000 |
|
|
Bank |
|
2,350 |
|
|
Vat refund due |
|
980 |
11,110 |
|
|
|
|
550,610 |
|
EQUITY & LIABILITIES |
|
|
|
|
Capital and Reserves |
|
|
|
|
Share capital |
|
|
250,000 |
|
Share premium |
|
|
20,000 |
|
General reserve |
|
|
15,560 |
|
Revaluation reserve |
|
|
100,000 |
|
Retained profit |
|
|
18,922 |
|
|
|
|
404,482 |
|
Non-current Liabilities |
|
|
|
|
Debentures |
|
|
130,000 |
|
|
|
|
|
|
Current Liabilities |
|
|
|
|
Accounts payable |
|
6,890 |
|
|
PAYE/PRSI |
|
3,938 |
|
|
Debenture interest |
|
3,000 |
|
|
Corporation tax |
|
2,300 |
16,128 |
|
|
|
|
550,610 |
|
|
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