I, Folouig 1 Tues, pouties vine. puoauelen He + punehase © Ouyon > PUM . we uopaay 1907 04 Mandy Cond Pa) claws, ovyon vr Hepa ® rachus- “ie ~~ fp tne (actou a ot moray 1 ® suey raelow ruil uopauy 80% Of MONDE Ane / Salen - b oo" ® fost <>. Company a oY 807. Buyex Salat (606) © tor Sebling Aceounts tuediale, ou bills Wiecivablo } Fodouing 4 Shour eum, (aelowing . Sh buxew fails to Hepay she mony, thors celled ou(eus HU LOM > RKeeousne, {naneing Unieeouoe, {inaneing 7 FaClOU suffer stu Leg 4. Thade Gude SUAiY ended by one, Madey. to anon fou de PUNchoLe of garde Nd souvregg , 10. Common eral 36 papey > TYP Oh unseen ool (rancing OH Loang, > Similan 6 cuueney. 2 KNOMN ae money masckofing statement 2 shor eum trang > Inthe foun H Plomissowy role,4¢ fund Aow Staroment? ets quivaten et fund roRe{uS KO each, OH ANH kind of {inanefal WesoUMeh whieh can bu Uaed in ouuganisalions. © wouking capital (fou smooth opeuatlion’) Fund {lows +. Movement af funds af AEUe fe A ehangy of wouktng capital .then iF fis Kron as (urd (lord. fund (lov otatement 18 a wlatement” refen, ghoros ohana as, roouKing capital. long with its SoUMe Ss, ‘application: Guoss woking capiial means euLucent asedt. | Nero 0 » euutenhageebr — | euUUneny Uabilities | * Flows, of (uid Ree w*e “lows at funds wefous Lo changed on movemenls of (tds. x monking capita inte Counce a buainese open alfind. "St may be tn{lord OK oUA{lony Of rUOHKINg capital, involvement of eummen aaser on Labilittes witty Non cuuon added on Liabilities then theue will bo movemenr of funds. (gah —— > Machine © (64 (eA) We oes ow” Ae WouKng { ewuaaes the eapi’s FON ws ach (ude Wohon fhewe 16 19 change ir reouking capitate, thon the Knonsn as no (ow a {unds. invotvemeny of elute” and non-eunuenr AL mutt Cuumonr and ron- cusmmr AL Aen thene fs no (low of duide,Cuuen! —> gust None 8 NON ing ohawes py feu Se ata paabititee wo (ona (utd é @, deb 2 100 —> tore Of funds theme hayes ——> fo (lord thar means Shower. — 2 180 Otbr — 0 Puepaualtin of fund (lor wlalemaal” step 3* Fund (um opawalions fund fi axing fa tho main activities Of Hh, - (ton the nahi | business « #1 puepaue, bugings, mn agony cu fh aoe ore 3 any t Nor ineome > Fund {wom opeualions rue nail ean, Sneome glayemenr foo yeaut © infomation « Nur puoi’ — Reverwe, / Taw oiedond / peers Appuopuiation of puofitrand tors Ago, in wouking Capital © wor a "sun non a @ Mein » — Labitity—synu nw @ wu " " —> hon uw 4 qr 0 (gal ‘00 No +10 (nore @ " 100 160 (to (fons of eaak @ 100 80-26 (we oS)Stipd* Fund (love alalement@ Mange inthe mouking eapital akong with wt Gowers, SOUNCS 2 Application, ¥ ® NOL NGA Add[® F.FO Add® 8.6.0.6, Palaned Balanced _ Q. Liability | ey Fy Assu ry ley aa Ao | aa Bo 4. Capital 0000 |&5000 I. dake — | 4000 4000 | | 2, Buf” 1ar500 | 24500 |2. Machine | auo00 \2us00 | 5, tuedhious | 4000.) 8000 |3- Srwenfouy} 4900 |7900 u. 190g tem | — | 5000 ly. oxbtous | 16500 |/800 Loans | 5. building 0000 | 20000 | 4,08, 500) 1.14. 500 1,038,000) (14.560 | bit t i salt fund gore cpuuaine mit FyY2a, FYRd Ast 14500 24600 + 10000 ® eaten” changes itv roonking capital (@A : a in WO R 33 |___Shange tn wi as waa Sreuensy (| DeaweAse TA, cummon” ABs (* fash laood |a000| 3000 \ a’ 4nventowy 4000 | 1000 1 A000 12, Oublous ‘i600 [14500] 000 Gauutentr Asset 29500(96500| aFRR Fund {lors staleneal” Foualout ial "cub ns | 4, Ureditous jagoo | 5000, 4000 Cutan Liability (4000 | 5000 | - GA CL (war mouting 20'00| 30500 (0,000 capital) ; | + Ba000- £5000 aad 69) SOUMELS “Ye of mealttilio z | 4. Capita p00 | Machine 0000 | (8000 - 80000)" | - | NE | “ | guntting 2 long tum: | S000 foans 'b, stafunen af 10000 a. Fund (wom 10,000 uae in We | | opi | | 20000 20000 Q. Puepaue a stotomonk es in’ WG Goodwill fs ror useouded in Applicalon of funds (BuE7AAA Te om Pai ' Giability Fyaa 23 | Asser Fyaa |Fy2a )” (|. Thode awcdtoni oon Sea I. Goad rorbL{nea) 19000 | 5000 a. Gils payable |20000|35000| 2. Casty 009 10000 %, ee. (ayabl,, — | 20000] 3. Deblous 48000 | 40000 ing £034 . 4. Shale pif 42600025004 + si Slotk | 84000 |Leoo00 (our \ | 5, fuofitrand — |60000|75009] 9 A004 Fai | IHO00,| Igo00 L068 Ne, ¢. ne ‘ | are 1000 |a%060 | | expense | 5000'| 2000°) 200 50 te oun| - 7 stavemon’ af ehanges tv Woouking taptlaL Poultoudan Fyaa levag Sanne one AS _ _ Snenease | Deaueasy a, Cummonh asad | | 4, taalv 29000 10000) 43000. b Oeblous 18000 | 40000. $000 _ Ugsing clock * |€4000 (20000 35000 ie ThvertoL) A. Puoliminguay ocpendes ‘5000 3000. R000 (Atopard 0), if tl euumenh aaah |415000 465000 bh, Cusumonr Liability ; od 4, THAde enéattous 50000 46000 5000 : (2. WIS payable 20000 | 3000 (15000 2, loans | 0 | 20000) 40000 : I Guuoar Uabibily [70000 |to0000) ta eh (whe) ‘149000 183000, 38000 | |Module ® > a capitanisallor rayeattd i tho busines, apes omer od “igh! amount of €2p%, Captarisalion 19 clleumining Ae uiguieed by a Compan, Te colin, e_uaguned capitals aid ou © task foouy @ the Wad. an of, Ci” va to all east involved in he eatabbiahmert oe Ses © cont sheowy is used by NUP puaineas. ® eouningshouy nam} ww yt Mii anduglay Ava. klar ‘fs Ane simple nani avaHagy of a atures af wctiuanss qanouated ove " t Peauiod of tine, ih The Kuga. amt. af eapilal chould equal fo usad. wale AA elim on capital > Eounings thei Eabimalion, of caxnings heowy is ali{ (few (0 non) buGiugs . Types of eapilaliealfore §—tomganyA @® copital, employed 20,00,000 6,00,000 '6.00,000 © Novimal RaHe of Riaun(iva) 40,00,00 200,000 2.00.00 ® Actual eunngs lor. N02 (Oe ® Adhal Rate of Roiuuy 107 fh lay. fuopor capilalisafion - we = AR Oven on TNR PAR (MOWlaQe of Q) Undo NR SAR (Abundanes ta + OV Cayitatisaffon is a situafion rohan, fosues mone eapily and debt” than woquiy caval Role of cov A comp @. ty is Les tary noumat eeytdlvury. dF O pulaBlam whee earnings af she Company dons nat (watity the amt. of capital employed fv fhe buwiniss, she eompany might” aelualy be Gl (euling of ahowuage of (unde eauass @ Eatabliahmen af the eompany om puomation of ihe company aan Tn(lalid_puiee. nigh inflalion —> spend moue, money —> prices of the gaads Mes . © ovat ealinalion, ofthe. conninges when the managans mnepuneerLy ovencaslimale, the company’ cqunindd, his will Lad “6 oveneopitabtaalior, beeauer m wone puoduee a {pia wale of volun hak is eommbre ihe mouku © Uidsiol dividend pobiey cade Thos companies rohieh gives Aigh aimount” of alivieonde. Rabto ap cliviclend dialnibubiow is vowwy LAUiGe 26s ‘wmpaued to wnfeuined eauninge. _ Cons quan us <- @ onthe company nila punks — ns A company “hal is ovenenpilalized may hove to pay high inlewesh and ctiviolend payments thal will oat up 1 puogis» ® on +e chawcholden. GD Loss on speeulalions. Smokobdons awe buuned nsiey as mul dy oven capi Gabtsasor , and they ‘amar puoftably cuit -eit folclngs owls. deeling fr the maukele . © onthe socidhy @ toss fo eoneumens Dil{cucnt’ ancidals quoups fq oveneapitaltsed em panies in a mauialy of ways. hoy eomngl’ wemains compeblliver, and they awe caging elocen fo a point whee Aqutclabion #6 woquiucd .ay a tonite * Undew eapitaiicaton fs a eitialior nh A “pag ‘AchiiaL uole af woleuen is mel buaineds » MAY Cat have auf(reten!” cap! 1 mjecontspl ror, Opuicatnd but” ay nok bv eonkuaed 0 toga Me tadequany of xpd a8 OT he, bln, Qeive ond urilraea (ucts prepay | Causes ® Ediablechmunl a He company, clu ale lationauy condifin. Gompanits atrup wurecadnamy endilir quia . bwome unde “aptalined ata ites’ 1 Ova, ® unde calimatin, Of counings. Sf launings now vente wow undow -calinaled and the mfeupurse wow tapitalts acenudingly. O - Dwenvalive cvdend polices but Company A filosing ‘on en vale, cltvdend poliey “UP cubst LQ (unde available fow - Keplacomont ang Hawvalion, of obsolete, ansele, Cota gueners © onthe company Heuer in compolitan, Unde eapitaaaton, “ininatteg He clegueoe af conp Citory whieh may havo ting elt aol” met © onthe Ghomeholdoy @) Vale 04th Shes 404 aed maul objnh W the CHOW L becomes ciftieur Th j rx on i © chowetoldens ean expeat © On the cwotoly. © aployers_darand. gto wagee; They Link fighow puofihg With, “Righoy puntos Ge pulduets, ; .Module & Mauginal eal” Cost 8 he amount” af expendtitle veumed orv a Qiverv thing. © Fined cosh ® vowiabl east” Frued cool ane those cost whieh Kemains conalant’ +halre it od ehangu roitty volume of oulpul” pro duecd « i. evuiable eal ane tye eat” rofieh changes wit the volune of oulfpul” pModueh « €q-fans maleuial Mauginal coal’ 18 the change trv amountal any qivery volume, of oulpul” by wohreh aga ale eval” changes ne volume af oulpul’ 13 inoneaaed 0} cteeneased by ‘one unite mauginal eosling 16 the qatulainmen” af mauginal est de, ate 500f, Sales 100 200 50000 VaKiable 80 160 40000 Cosh” tonliurbuliry 20 40 10000 Fixed eos 10000 +=: 10000 10000 NPANL qq80 = 1460 0 © Contiibuldnt- tonliibultor #8 Hal” amount” rohich, eontuibutes fomauds the puofit (rom wales. confiuibultory = Saltd - vauiable eral " ~ Fined cas — Na Loss = Fined wal’ + Nar profit” @® Aur fo volume wallo (PA)uallo fach wupee af aalts available (6 coven the {ted east” ANA puovide, (ow preo(it. fito(i te volume uatis = Contiibution, | Balle X 1007.(Wt = LOUIS V.8 i997 Sales | = 1. Vb. x100% Sales FA wwalty = £6+ NP ~ —S—— x10048 Salyy 10 (\I) ~ FM yyy, Sales A alo = shange ie puolt /etiubulfin. Change iv gales = 26 Ihe | , Bee -|Fa, ® Buck even point? * Gueak wor point” i a point” rohowe thaw is na | PLO OL nd Loss in oon woueds tolals sales fs equal ' tole cost. Oeivibution, mettad =fe6 |. Coneibuton7 (v0) To war esl Tolol Vols (2) ~ fu EL (ala) Contd ulin “° Punt ir : x Salli Conti” MQ pity, Valus (2) ~ £& + equallory meted uot = Salling puiew — torr puses > P= bP CATS) D>P-= SP - (Fe +ve 3 P Tunlt cold x ee Aunt} — {Fe+ units cold “a. cast (unity a»urx wnib wold p> sue puree /unir as Fb b> VG/uniF MP > NUM pita (tt [w= Pe @rod| In EP, NP=> PK- (At bY) = 0 > P= atbr | @ Sales fo esd pus ae Onby, ablained affen galling EF. © conluibufory method Wy (unite) = FO + OF ov » contuibulfor/ unike evalua (2) = FO+ OP __ x -s.P/ynit” ¢ contitibulion/ fs uu = FOFOP y-69 Contin” = F&+DP eA ® €quallor method we = OP > DP= pu-(atby) © Maugin of dalely eomes only vohen weachteved BEP. v Jmasuaga of Sa(thy (H08), Qty = Actiab dates unit’ | BEF sales unit] MOS (2) = Achat sales value ~ BEP calee valu = 2SP Ani (700-500)S Maceo, af (7) Mos (3) = af b Mos (7) = MOS dabis vali ino (") Alia sales value Exampls 4.4 taleutale +e von © ve? in unit (quant BEP in sales Kevenue PN naff : ® Salve fh Cun a puotit a = (0,000 © Mawgin ay safely i pusfitts = 60,000 ® tL «oe peucentage Gtiven, inounalory ® gabs (10,000 units) = 24,¢0,000 ® Vawiabee eg <> 6.000 ® Fed esr - 2 a8 006 Soe Contiuibulfon = bales - v.¢ Coniibulion /unit Soles uth — v.8 Ani mal = K-46 =F6.4 © OEP(QK) - Fe Conhii"Y/ ‘unir = 4000 oy = 1000 units DEP(2) = 4500x I8000 © @ “Td000 = © 1av000@ °/V natto en = Lonhuibu" unit Sales /unritr = _64 “T6000 18D6p X100% X100 = 4% @ sates {om decid profit” D,P = 260,000 Cty = FO + oF conn Ani” _ 48000 + 60000 asm 6.4 = 16675 Wile Salts value(s) = 2186x1687 (216 = cu pte) = 2 2740000 @ 06 Mos (Qk) = Adtiab dates wut BEP dates WLI” ~ 16875 - 1500 = 4375 unils MO8 (2) = 2I6x 9375 : = 2150000 @ MOS(A) MOS EY y99 : A.6N = 59.567 ® Shualion, method NP= PX-(at bd Q® fou EP, NP= 6 PL = Otbw 16x = U80004+ 46ifs old HN 3 %= 1500 unite (x5 units ) iti) \ ® wee é | Beep = Pw I | = 216X 1500 1} | ~ > 120000 © ope Pr ~ (abr > 60000 ~ 16x - (ago00+ 2.6%) 5 66000 +U8000 - 6X-9.6 | one 16875 De (2) ~ 216X 16895 = 2 240,000 26. Qleware | © Pvnakly : ‘i ® Avge hon cae Aue 2 40,000 NUD EP i 6.P Ueoluead by 107. A Girvan TnRoumary © F.& = 3 gn ® cep. a 20,000 ® Vefunirs s 60 Aunut- Gon BEP- Fb a av >N~ Fe BEP = 8000 200060 = 0.Y = UO4o Balde®) ~ F&+DP ; URS 2) a A = 8000+ % % 40000 sa Ss A ~ !2) pp = 2 8000 (™- toniitiby™\ . Jas _/ @ eA ~ Lbubulow yo Sales = Gals - VG Sales X00 ~f4~ Nb ( fae) ° > 40 = fr 60 $B) xi00 >) y= 2100 5 8iPAinit ~ 2 100/ Unit” Nuw S. P/F = 2 40/v Nun wer = £6 Salts -Vi& = 800d Ab - 60 = 266.67 units ~ ab7 units Sales VALU = 261X290 (ow we?) = 2 24030 9, Tah eps and Calls Of A manufechusing 30 ~ SR DUT 5159 D Conliibuffon, = > 16.20.000 SD Fined per + Nek puofit” ~ 2 16. 20,000 ‘> GG 6;20.000 » > PL =210,00 000 2 16.20 000 ® wee (a - Sonhiabufin DEP(D. RG eM = _16,20,000 © = 18.00, 000 Oo Co. ~ 5, 40,000(%) - 33,93. 939@ moa(a)on sabes = Mos_dalt value Adhiab Sales = NPA refuat cals *° _ 6,20, 0004, 3 54 00.000 X00 3066 666.64 yy 5400000 = BRAY, | ft es Af 2 420,000 4, A company had inoumted fined (pen . poe hal yeu vorth gales af 2 19,00.000 and, coun o putt ah 2 3,00,000 duuuing te Js nal. on tne and Aad» Guflat O 1088 of 2 150,000. (Alewtale . ® The PV wale, BEP» BEPIn gales moved Maugin 4 cattly (ou lal yead @ erprated sala (ow he and yeu @ mw wer and Nos (ou tty wholb yoru Sol — Gtivens Fixed cipanae = Fred eosl” F.& = 24,650,000 (or both halve, larhalt, 7.8 = 2. 15,00-060 N.P = 2 300,000 éontiutbulfon = F.6 + NP = 2 1,90,000 OW oat 1090 = 150000 x100 1900000 = 30%(yf ® EP() . he = 4,50,000 0.5 4, 00,000 Moe - Ne ev = 200000 “0.5 = 2 600.000 Sxpedled alts (ow 2nd veou /hale PN = 18 came fv = 0.5 / NL= 3 150,000 » Valuibulfon, _ ” Salts 3 Fo- Me ~ Salyy ~~ = Pv 5 485.000 ~ 1,59, 099 -0 Sats vite D Salus = 2 §00000 BEP and Nos (ou whole yeou DEP FO Q & 2 4.00.00 ~F18.00,000 M08 (2) = th = Adtual voles valus ~ bEP sults valu, ~ (#15.00,000 + 69.9006) - (1800006)a = % 300,000 Mos = 2000-000 - 150,000 pee Oe 0.5 = 2% 300.0007 6, tleutate © P/V walto ® wEP in sales NOVO @® sales wegd fo coun A pH €@ = Rs 40,000 pmoot maleuta = 88 5 pox unit” (itr Rs 4-5 LaKhsyaw we Py io Lele eae Ao pow Bhs ee ? ae 2 - ‘ee Py, y\" a hire i eo *Cost’ sheel” (Module a) 1 Csr check have fy be puecpaned ae fab COG Tole Cost” = Frned easl’+ Vauiable Cost funchast Finished Houroling Maleuials ods Sestaeouns a puoerae of aecounling (om, 4hY poinl’ ol Which, Openditiae is meumud ow ornmitted fe the © Calablishenanl- fs wlfimale wolafénahip rift, Wale , Rteebes of ew accounting © dduuminatfon Selling puiey ® Conltething tog ® *eulairing Profit OS chy aig a Slalomenh phy hors the ~vawious COmponente 04 Krol car 34. Puoduel-, ar Udasifres and MOSH82; tho, Compom eng Ha aa’ Aepawatin of cost shear © Hishuieat wera EEE ENN Elements of test” | v Uv v MaveuwiaL, Laboun Expongas Car ade Seay gh Sat Diueel- Snditueey- Dikeehy Sndinee Dine Indivweet ¥ v munis divey 1900 Setty uments Advout Atweerby involved oy a ‘8 wouking rr of cteckerctly gormenke in the manulaee fing tnahe inthe monu- Woukid Lins. ete. WuiNg puoetss — pug 4ualion, aetiuing on thig. #Ondliveer mateuial . indiueer Labow , indivest expengs, = Oveu- Aeads beeausy these eoskt aus, Going above the pusoluer AS these aMe no aiveckly involved in he puo cluelear pugtess * Jet ovenhead may come ftom Fastouing Fao °and un « t " Office and Adminishiolbve, o Sud - tt « 1 w Selling and Cishtibulfor, He Adfusiments © Kon mareuials iG) Opening, dtoek, © closing shoek, ® Mouk-rv-Puoquegs ami (inrched qoods® Foerouy & Opening cook Ly Aloaing, took ® Finished goods @ Ato offre and admintatialforv L Opening, cloak, 9 closing looks