Jan 2018

Q1i
RM RM
Cash Flow from Operating Activities
Cash Received from customer [12600 - (6552-6300)] 12,348
Cash Paid to suppliers [-8190 -(9702-9450)+(7749-7434)] (8,127)
Cash Paid for sales and general expense (1,260)
Cash Paid for interest expense [-630+(252-126)] (504)
Cash Paid for income tax expense [-504+(3906-3780)] (378)
Net Cash Flow from Operating Activities 2,079

Cash Flow from Investing Activities

Cash payment for purchase of equipment [(6300-6930)-
(1,890)
1260]
Net Cash Flow from Investing Activities (1,890)

Cash Flow from Financing Activities

Repayment from note payable (945-1260) (315)
Proceeds from issue of long-term debt (4410-3780) 630
Payment of Dividend [(6300+756)-6678] (378)
Net Cash Flow from Financing Activities (63)
Net increase/(decrease) in cash and cash equivalents 126
Cash and cash equivalents at the beginning period 630
Cash and cash equivalents at the end of period 756

Ii)
RM RM
Cash flow from operating activities
Net Income 756
Adjustment for:
Depreciation Expense 1,260
Interest Expense 630
Income Tax Expense 504
Operating Profit Before Working Capital Changes 3,150
Increase in inventory (9702-9450) (252)
Increase in receivable (6552-6300) (252)
Increase in payable (7749-7434) 315

Cash generated from operations 2,961

Interest Paid (504)
Income Tax Paid (378)
Net cash used/from operating activities 2,079

Cash flow from investing activities

Purchase/Disposal of Equipment (1,890)
Net cash used/from investing activities (1,890)
Cash flow from financing activities
Proceed from long-term debt 630
Dividend Paid [(6300+756)-6678] (378)
Repayment from Note Payable (315)
Net cash used/from financing activities (63)

Net increase/(decrease) in cash and cash equivalents 126

Cash and cash equivalents at the beginning period 630
Cash and cash equivalents at the end of period 756

3ai) Straight-Line = (Cost-Salvage Value)/Useful life

= (RM300,000-0)/5
=RM60,000
Year 1 Year 2 Year 3 Year 4 Year 5
Opening Book Value 300,000 240,000 180,000 120,000 60,000
Depreciation -60,000 -60,000 -60,000 -60,000 -60,000
Ending Book Value 240,000 180,000 120,000 60,000 0

EBITDA 100,000 100,000 100,000 100,000 100,000

Depreciation -60,000 -60,000 -60,000 -60,000 -60,000
Earnings before taxes 40,000 40,000 40,000 40,000 40,000
Tax @25% 10,000 10,000 10,000 10,000 10,000
Income after taxes 30,000 30,000 30,000 30,000 30,000

ROA 10.00% 12.50% 16.67% 25.00% 50.00%

Ii）Sum-of-years digit
Sum of years : 1+2+3+4+5 = 15
Depreciation Yr 1 : 5/15 x 300,000 = $ 100,000
Depreciation Yr 2 : 4/15 x 300,000 = $ 80,000
Depreciation Yr 3 : 3/15 x 300,000 = $ 60,000
Depreciation Yr 4 : 2/15 x 300,000 = $ 40,000
Depreciation Yr 5 : 1/15 x 300,000 = $ 20,000
Year 1 Year 2 Year 3 Year 4 Year 5
Opening Book Value 300,000 200,000 120,000 60,000 20,000
-
Depreciation -80,000 -60,000 -40,000 -20,000
100,000
Ending Book Value 200,000 120,000 60,000 20,000 0

EBITDA 100,000 100,000 100,000 100,000 100,000

-
Depreciation -80,000 -60,000 -40,000 -20,000
100,000
Earnings before taxes 0 20,000 40,000 60,000 80,000
Tax @25% 0 5,000 10,000 15,000 20,000
Income after taxes 0 15,000 30,000 45,000 60,000
 300.00
ROA 0.00% 7.50% 25.00% 75.00%
%

May 2018
Q1a
I. Current Ratio = Current assets/Current Liabilities
2017 = 4,175,000/3,240,000 = 1.29 times
2016 = 1,880,000/1,080,000= 1.74 times

II. Acid test ratio = (Current assets - Inventory )/Current Liabilities

2017 = (4,175,000-1,800,000)/3,240,000 = 0.73 times
2016 = (1,880,000-900,000)/1,080,000= 0.91 times

III. Debtors’ collection period = (Account Receivable/Sales)x365 days

2017 = (2,340,000/9,600,000) x 365 days = 88.97 days
2016 = (720,000/4,800,000) x 365 days = 54.75 days

IV. Stock Holding Period = (Inventories/Sales)x365 days

2017 = (1,800,000/9,600,000)x365 days = 68.43 days
2016 = (900,000/4,800,000)x365 days = 68.43 days

V. Gross profit ratio=(Sales-Cost of sales)/ Sales

2017 = (9,600,000-7,488,000)/9,600,000 = 22%
2016 = (4,800,000- 3,600,000)/4,800,000 = 25%

VI. Net profit ratio= Net Income/ Sales

2017 = 566,000/9,600,000 = 5.90%
2016 = 312,000/4,800,000 = 6.5%

VII. Debtors’ turnover = Sales / Account Receivable

2017 = 9,600,000/2,340,000 = 4.1 times
2016 = 4,800,000/720,000 = 6.66 times

VIII. Inventory turnover = Cost of sales/Inventory

2017 = 7,488,000/1,800,000 = 4.16 times
2016 = 3,600,000/900,000 = 4 times

IX. Long term debt to equity = Long term liabilities/Shareholder's equity

2017 = 180,000/1,530,000 = 11.76%
2016 = 300,000/1,080,000 = 27.78%

X. Interest coverage ratio = Income before interest expense and income taxes /
interest expense
2017 = 1,110,000/240,000 = 4.625 times
2016 = 600,000/120,000 = 5 times

XI. Cash Operating cycle = Inventory days + Receivables days – Payables days
2017 = 68.43 + 88.97 - 55 = 102.4
2016 = 68.43 + 54.75 - 80 = 43.18

Q4a
2017 2016
2017 (%) 2016 (%)
(RM) (RM)
Sales 720,000 535,000 100% 100%
COGS 475,200 280,340 66.00% 52.40%
Gross Profit 244,800 254,660 34.00% 47.60%
Operating Expenses 151,200 103,790 21.00% 19.40%
Net Income 93,600 150,870 13.00% 28.20%
-Unfavorable, Net income decrease and Ineffective in controlling expenses.

Jan 2019
Q1a
XII. Current Ratio = Current assets/Current Liabilities
Shine Bhd= 5,522,000/4,285,000 = 1.29 times
Bright Bhd= 2,485,000/1,429,000 = 1.74 times

XIII. Acid test ratio = (Current assets - Inventory )/Current Liabilities

Shine Bhd= (5,522,000-2,381,000)/4,285,000 = 0.73 times
Bright Bhd= (2,485,000-1,190,000)/1,429,000 = 0.91 times

XIV. Debtors’ collection period = (Account Receivable/Sales)x365 days

Shine Bhd= (3,095,000/12,696,000) x 365 days= 88.98 days
Bright Bhd=(952,000/6,348,000)x365 days = 54.74 days

XV. Return on Common Shares Equity= (Net income- Preferred

dividend)/Shareholder’s equity
Shine Bhd= 747,000/2,021,000 = 36.96%
Bright Bhd= 412,000/1,435,000 = 28.71%

XVI. Net profit ratio= Net Income/ Sales

Shine Bhd= 747,000/12,696,000 = 5.88%
Bright Bhd= 412,000/6,348,000 = 6.49%

XVII. Debtors’ turnover = Sales / Account Receivable

Shine Bhd= 12,696,000/3,095,000 = 4.10 times
Bright Bhd= 6,348,000/952,000= 6.67 times

XVIII. Inventory turnover = Cost of sales/Inventory

Shine Bhd= 9,903,000/2,381,000 = 4.16 times
Bright Bhd= 4,761,000/1,190,000 = 4 times

XIX. Long term debt to equity = Long term liabilities/Shareholder's equity

Shine Bhd= 241,000/2,021,000 = 11.92%
Bright Bhd= 389,000/1,435,000 = 27.11%

XX. Interest coverage ratio = Income before interest expense and income taxes /
interest expense
Shine Bhd= 1,468,000/317,000 = 4.63 times
Bright Bhd= 793,000/159,000 = 4.99 times

XXI. Earning per share = Net Income/ Number of shares outstanding

Number of shares outstanding :
Shine Bhd= 1,200,000/RM1 = 1,200,000
Bright Bhd= 650,000/RM1 = 650,000

Shine Bhd= 747,000/1,200,000 = RM0.62

Bright Bhd= 412,000/650,000 = RMRM0.63

XXII. Price earning ratio = Market Price per share/ Earnings per share
Shine Bhd= RM5.20/RM0.62 = 8.39 times
Bright Bhd= RM7.21/RM0.63 =11.44 times
Jan 2019Q3a& Oct 2020 Q2

Q3b
Statement of Cash Flow as at 31 December 2019
RM RM
Cash flow from operating activities
Net Income 1042
Adjustment for:
Depreciation Expense 1739
Interest Expense 870
 Income Tax Expense 696
Operating Profit Before Working Capital
4347
Changes
Increase in inventory (13388-13042) -346
Increase in receivable (9042-8694) -348
Increase in payable (10692-10259) 433

Cash generated from operations 4086

Interest Paid [-870 +(348-175)] -697
Income Tax Paid [-696 +(5389-5216)] -523
Net cash used/from operating activities 2866

Apr 2019 Q4
Statement of Cash Flow as at 31 December 2018
RM RM
Cash Flow from Operating Activities
Cash Received from customer 314160
-
Cash Paid to suppliers
106814
Cash Paid for salaries -56549
Cash Paid for interest expense -12566
Cash Paid for income tax expense -10282
Cash received from dividend 2628
13057
Net Cash Flow from Operating Activities
7

Cash Flow from Investing Activities

Proceed from equipment (47752-37699) 10053
Cash payment for purchase of land -17593
Net Cash Flow from Investing Activities -7540

Cash Flow from Financing Activities

Payment for share buyback -31416
Payment of Dividend -43982
Net Cash Flow from Financing Activities -75398
Net increase/(decrease) in cash and cash
47639
equivalents
Cash and cash equivalents at the beginning period 57177
10481
Cash and cash equivalents at the end of period
6

Jan 2020
Q1a
XXIII. Current Ratio = Current assets/Current Liabilities
Optimus = RM1,520,000/RM770,000=1.97 times
Prime Bhd = RM1,980,000/RM1,780,000= 1.11 times

XXIV. Acid test ratio = (Current assets - Inventory )/Current Liabilities

Optimus = (1,520,000- 510,000)/770,000= 1.31 times
Prime Bhd = (1,980,000-890,000)/1,780,000=0.61 times

XXV. Debtors’ collection period = (Account Receivable/Sales)x365 days

Optimus = (670,000/5,720,000)x365 days = 42.75 days
Prime Bhd =(1,090,000/6,310,000)x 365days= 63.05days

XXVI. ROCE= (Net income- Preferred dividend)/Shareholder’s equity

Optimus = 750,000/4,820,000= 15.56%
Prime Bhd = 430,000/3,030,000=14.19%

XXVII. Net profit ratio= Net Income/ Sales

Optimus = 750,000/5,270,000= 14.23%
Prime Bhd =430,000/6,310,000=6.81%

XXVIII. Debtors’ turnover = Sales / Account Receivable

Optimus = 5,270,000/670,000= 7.87 times
Prime Bhd =6,310,000/1,090,000=5.79 times

XXIX. Inventory turnover = Cost of sales/Inventory

Optimus = 3,840,000/510,000=7.53 times
Prime Bhd =4,240,000/890,000=4.76 times

XXX. Long term debt to equity = Long term liabilities/Shareholder's equity

Optimus = 500,000/4,820,000 = 10.37%
Prime Bhd =3,500,000/3,030,000 =115.51%

XXXI. Interest coverage ratio = Income before interest expense and income taxes
/ interest expense
Optimus = 1,120,000/50,000= 22.4 times
Prime Bhd = 990,000/350,000= 2.83 times

XXXII. Earning per share = Net Income/ Number of shares outstanding

Number of shares outstanding = 2,000,000/RM0.50 = 4,000,000
Optimus = 750,000/ 4,000,000= RM 1.88
Prime Bhd =430,000/4,000,000= RM0.11

XXXIII. Price earning ratio = Market Price per share/ Earnings per share
Optimus = RM6.60/RM1.88=3.51 times
Prime Bhd =RM2.50/RM0.11= 22.73 times

Dec 2020 Q3
Vanguard Bhd
Statement of Cash Flow as at 31 December 2019
RM RM
Cash Flow from Operating Activities
Cash Received from customer 357500
-
Cash Paid to suppliers
121550
Cash Paid for sales and general expense -64350
Cash Paid for interest expense -14300
Cash Paid for income tax expense 0
Net Cash Flow from Operating Activities 157300

Cash Flow from Investing Activities

Cashflow for equipment 11440
Cash payment for purchase of land -20020
Net Cash Flow from Investing Activities -8580

Cash Flow from Financing Activities

-
payment to supllier
121500
Cash used for Share Buyback -35750
Payment of Dividend -50050
-
Net Cash Flow from Financing Activities
207300
Net increase/(decrease) in cash and cash
-58580
equivalents
Cash and cash equivalents at the beginning
71500
period
Cash and cash equivalents at the end of period 12920

April 2020
Q3
RM RM
Cash Flow from Operating Activities
Cash Received from customer 376,992
Cash Paid to supplier (128,177)
Cash Paid for sales and general expense (67,859)
Cash Paid for interest expense (15,079)
Cash Paid for income tax expense (12,338)
Dividend Received 3,154
Net Cash Flow from Operating Activities 156,693

Cash Flow from Investing Activities

Cash payment for purchase of equipment 12,063
Purchase of land (21,112)
Net Cash Flow from Investing Activities (9,049)

Cash Flow from Financing Activities

Repayment from note payable
Share Buyback (37,699)
Payment of Dividend (52,778)
Net Cash Flow from Financing Activities (90,477)
Net increase/(decrease) in cash and cash equivalents 57,167
Cash and cash equivalents at the beginning period 68,612
Cash and cash equivalents at the end of period 125,779