The company: Kohinoor sugar mills limited was incorporated in Pakistan in 1968 under the repealed companies act

1913 (now companies ordinance 1984). The shares of the company are listed in KSE and LSE . registration office of the company is situated at 29-G Gulberg II, Lahore. Mills are located at Jauharabad , Dist Khushab, Pakistan. The principal activity of the company is manufacturing and sale of sugar and its By-products Basis for measurement: financial cost has been prepared under historical cost convention except freehold land which is stated at revalued amount. Depreciation: Reducing balance method use for depreciation purpose.. Revenue recognition: sales are recorded on dispatch of goods to customers. Profits on depsits and advances are accounted for on time proportion basis using the applicable rate of return. Current tax is based on taxable income according to income law. Stock in trade: these are valued at lower of cost and net realizable value except molasses which is valued at NRV. Cost in relation too raw material, work in process and finished good represents average cost comprising direct material, labor and appropriate manufacturing overheads.NRV represents the estimated selling price less estimated cost of completion and cost necessarily to be incurred for such sale. Cost is estimated as follows: WIP : at estimated cost Finished goods-sugar : at weighted average Distribution plan( staff retirement benefits: The company operates a defines contribution provident fund scheme( the fund) for its permanent employees. Equal monthly contributions are made to the fund both by the company and employees at the rate of 10% of basic salary. The companys contribution is charged to profit and loss account.

0.20 1 (0.20) (0.40) (0.60) (0.80) (1.00) (1.20) 2 3 4 5 6 7 8 9 10 11 net profit margin net income/revenue gross profit margin gross profit/revenue operating profit margin operating income/revenue pretax margin EBT/revenue