ih MID TERM TEST CH UNINE RS Faculty of Business BBCF1013 Course : Principle of Finance Date : 03 November 2020 Time 2 12:15 am—4.30 pm Duration : Thour Module Lecturer : Puan Azizah bt Md Nor Total marks : 50 marks (worth 20%) Instructions to candidates: 1. Write your name and student number on the Mid Term Paper AND Answer Book. 2 Attempt ALL questions. 3. Donot detach any portion of the examination paper. 4, Begin writing, as indicated, atter the reading time has ended. Materials allowed for this examination: 1. Hardcopy of dictionary. DO NOT REMOVE ANY PART OF THIS TEST PAPER FROM THE EXAMINATION ROOM Student ID : 201809040144 NIRC/PassportNo =: AR5296742 Program : BACHELOR OF BUSINESS ADMINISTRATION (HONS) Student's name : SAMISYED USAMA ‘Scanne wih CamScanetNames Same C yee Usceaes ja --20 L€0404-0144 rj. i BRCF-1013 hd = tev Geek tion HEA : . HPL Chae Gain Vhs y _ 7 Fe ag - _ 9 BC aC ~ gl © A dB “4D oA 41s)C BY eo —1B — — — A = DD a 1. B — ‘Scanne wih CamScanetSECTION # B Fairuz Sdn Bhd Income statement for the year end RM Sales 640,000 (-] Cost of Goods Sold (380,000) = Gross Profit 260,000 (J Operating Expenses (25,000) Earning before interest, tax, depreciation, and 235,000 amortization Earnings before interest and tax (6000) (-Jintrest Earning before tax 223,000 (-] tax (229,000 x 40%) (91,600) Net income 137,400 8) Ratios i) current ratio Current assets = 30,000+40,000+70,000+150,000 Liability. 120,000 290,000 320,000 =2.41* ii) Quick ratio Current Asset — inventory = 290,000 — 160,000 Current liability 120,000 = 140,000 120,000 =1.16* ‘Scanne wih CamScanetiii) net working capital =current asset ~ current liability =290,000-120,000 =170,000" Iv) average collection period = account receivable = 70,000 Avg. daily sales 365 =191.7 vi) time interest earned operating income = gross profit — operating expenses interest expenses interest expenses =260,000-25,000 6000 =39.17 c) i) liquidity ratio- that provide a measure of the firms working capital management and its ability to pay short term obligations asset activity ratio - to help access how effectiveness and efficiency of the firm managing its assets ii) debt ratio- to measure the size of the firm debt load iv) profitability ratio- measure the overall performance of the firm ‘Scanne wih CamScanet