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AIM: 1. 2. 3. 4.

To be able to run the business successfully by using the knowledge gained in class To make a profit of no less than ($1000.00) one thousand dollars To utilize the liquid resources of the business efficiently To enable me to gain practice in the preparation and interpretation of final accounts

The purpose of the business is to provide the public with goods to satisfy their need and wants. Jays Fashions will be open at 10:00am – 8:00pm. Jordan. The accounting records are prepared for the month of February 2012.DESCRIPTION OF THE BUSINESS The name of the business is Jays fashions. It will be located at the Lowlands mall. Monday to Saturday. It is a sole trader business owned and operated by me Jamie Simon. Nike. like Puma. . The business will be operated with the intentions of providing the public with brand name shoes and clothing. Prada and Aeropostale items.

The accounting procedures used was the ciccruals basis of accounting.More by cash 50 Feb 14 bought motor van by cheque 1000 Feb 15 returns outwards to J.More 50 Feb 19 sold goods to K. More 300 Feb 5 sold goods for cash 300 Feb 6 sold goods to K. 12 – 20 Transaction Listing (a) (b) (c) (d) (e) (f) (g) (h) (i) (j) (k) (l) Feb 1 Started business with $6000.Jack 250 on credit Feb 21 return inwards from K.Jack 25 Feb 22 paid salary for the month by cash 800 Feb 26 bought equipment by cheque 600 Feb 28 paid rent by cheque 500 .00 in the bank Feb 2 Purchased goods on credit from J.King 450 cash Feb 9 paid J.

2012 Customer: J.00 .00 96 CLOTHES 1.00 $0.PURCHASES INVOICE J. Fashions Lowlands Mall Tobago Phone: 660-4458 QUANTITY DESCRIPTION PRICE PER UNIT $ TOTAL 300 SHOES 0. More 25 Green Street Port-of –Spain Phone: 639-1388 Invoice # 5262A Date: Feb 2.00 TOTAL AMOUNT DUE: TOTAL AMOUNT RECEIVED: BALANCE: $300.60 180.00 $300.25 120.

00 $450.00 TOTAL AMOUNT DUE: TOTAL AMOUNT RECEIVED: BALANCE RECEIVABLE: $450. King 5 Cool Street Wetland Phone: 096-6697 QUANTITY DESCRIPTION PRICE PER UNIT $ TOTAL 18 SHOES 25.2012 Customer: K.RECEIPTS J.00 .00 450. More Lowlands Mall Tobago Phone: 660-4458 Receipt # C109 Date: Feb 6.00 $0.

00 TOTAL $50. More 14 Main Street Port-of-Lane Phone: 639-1388 Credit Note # K42 Date: Feb 15.00 . 2012 Customer: Jay Fashions Lowlands Mall Tobago Phone: 660-4458 QUANTITY DESCRIPTION PRICE PER UNIT $ TOTAL 25 SOCKS 2.J.00 50.

.) Net Profit Margin: This is the net profit earned for each dollar of sales made.00) six hundred dollars. Net Profit Margin = net loss *100 net sales 100*100 700 =14. (2.28% This means the net loss is 14 cents for each dollar of sales earned.00) one hundred dollars and a gross profit of ($600.STATEMENT OF PERFORMANCE For the month of February 2012 it can be seen that my business has not performed successfully.) Gross Profit Margin This is the gross profit earned for each dollar of sales made. expressed as a percentage. RATIO OF ANALYSIS: PROFITABILITY RATIOS: (1. Gross Profit Margin = gross profit * 100 net sales 600 *100 750 = 80% This means that gross profit is 80 cents for each dollar of sales earned. expressed as a percentage. It obtained a net loss of ($100.

Net express margin = Total expenses * 100 Net sales = 700 * 100 750 = 93.33% or 93% .(3. Average stock = (opening + closing stock) 2 cost of goods sold average stock = 0+100 2 $50. expressed as a percentage.00 150 50 3 times Rate of turnover = = = = This means that for the period average stock was replaced 3 times (4.) Rate of Turnover This calculates the number of times average stock is replaced or sold in an accounting period.) Net Express Margin This is the amount of expenses incurred for each dollar of sale.

My business has not performed as successfully through all of the ratios that I tested.$6000. gross profit margin earned (80%) eighty percent for each dollar of sales. My net profit margin had a loss of (14%) fourteen percent. Rate of turnover was covered three times and my net expenses margin was very high with a (93%) ninety three percent for each dollar of sales.00 Capital at the end of the month $5900. COMPARTSIONS Capital at beginning of the month .00 FIGURE 1 6000 5900 OPENING CAPITAL CLOSING CAPITAL .


week 3 there were no sales again.00 .00 and current assets were at $4400. Figure 2. week 2 there was no sales. illustrates that in week 1 there was $750. demonstrates that fixed assets were at $1600.00.00 the chart shows what is taking place.for my opening capital at $6000.For my compartsians as you can see the column charts for each of them at figure 1.00 and closing capital at $5900. Figure 3.