In this task, the operation of the craft beer brewery Ipana Oy is examined from the accountingpoint of view. Ipana Oy is a brewing company that was founded in 2011 and focuses on specialtybeers. The company employs 35 people and focuses on the Finnish specialty beer market. Thecompany sells beer mainly to restaurants and wholesalers, and is currently focusing on increasingdirect sales to customers. The company owns its production facility in Kerava, in connection withwhich the company has considerable storage facilities. In addition, the company rents a smalloffice space in Hakaniemi, Helsinki, at a fairly moderate price (€ 3,200/month). The companyproduces the successful "Ipana IPA" beer, the selling price of which varies depending on the saleschannel, between € 2.03/1 and €3.12/l. The company prefers domestic raw materials, butmost of the hops come from international suppliers. Raw material costs have remained at thesame level in recent years, around € 0.82/1. Although demand has grown over the years as aresult of successful sales and marketing, the company's management is concerned that thecompany's turnover is dependent on a single product.Let's examine the financial period 1 January 2020 - 31 December 2020. At the beginning of theaccounting period, Ipana oy has 200,000 liters of raw material in stock. It can be assumed that 1liter of raw material can be used to produce 1 liter of Ipana IPA. In the finished productwarehouse, on the other hand, 150,000 liters of Ipana IPA are waiting for sale. The openingbalance sheet for the fiscal year (January 1, 2020) looks like this:Assets (k€)Permanent equivalents-Fixed assetVariable assets- Raw material warehouse- Ready-made warehouse-Trade receivables- Cash in hand and cashequivalentsLiabilities (k€)Equity-Share capital- Accrued earnings- Profit for the periodLiabilities- Long-term loans- Maturing loans-Trade payables15000164123240113965800510080082 During the accounting period, Ipana oy buys 10,000,000 liters of raw material at a price of €0.82/1. During the accounting period, the company produces a total of 10000000 liters of IpanaIPA, and it manages to sell 10000000 liters of Ipana IPA at an average selling price of € 2.4/liter.The other costs of the business are € 1,100,000 in total, of which the company's personnel costsare € 4,400,000 and marketing costs are € 2,200,000. At the end of the financial year, thecompany has accounts receivable for € 225,600 and accounts payable for € 80,360. Thecompany pays the due loans at the end of the financial year, and at the same time takes out anew loan for a total of €650,000. There is a total of € 600,000 in loans due in the next fiscalyear. The financiers charge an average 4% interest on the loan capital. The interest rate alsocorresponds to the expected return on debt, while the expected return on equity is 12%.Depreciation for the financial year is €750,000 and the company invests € 1,200,000 in newproduction equipment during the financial year. During the financial year, Ipana oy paysdividends of € 2,341,080 to its owners. The share capital does not change during the financialyear. The prices do not include value added tax, corporate tax is 20%.1.What is the company's current assets in the opening balance sheet?Enter the answer to the nearest euro [€].2. What are the company's financial assets in the opening balance sheet?3. What is the company's working capital in the opening balance sheet?4.Calculate the turnover for the financial year.5. Calculate the gross profit for the financial year.6. Calculate the EBITDA for the financial year7. Calculate the operating profit (EBIT) for the financial period.8. Calculate the profit before tax (EBT) for the financial year.9.Calculate the net profit for the financial year.

Turnover = Selling price per unit * Units sold Working capital = Current assets - Current…

2. What are the company's financial assets in the opening balance sheet? 3. What is the company's working capital in the opening balance sheet? 4. Calculate the turnover for the financial year. 5. Calculate the gross profit for the financial year. 6. Calculate the EBITDA for the financial year 7. Calculate the operating profit (EBIT) for the financial period. 8. Calculate the profit before tax (EBT) for the financial year. 9. Calculate the net profit for the financial year.

2. What are the company's financial assets in the opening balance sheet? 3. What is the company's working capital in the opening balance sheet? 4. Calculate the turnover for the financial year. 5. Calculate the gross profit for the financial year. 6. Calculate the EBITDA for the financial year 7. Calculate the operating profit (EBIT) for the financial period. 8. Calculate the profit before tax (EBT) for the financial year. 9. Calculate the net profit for the financial year.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

5. Which financial information is found in a company's annual report? A. Employee salaries B. Marketing strategies • C. Financial statements • D. All of the above
Show your workings for the question below; The summarised financial statements of LL Limited are as follows:” Profit & Loss Account/Income Statement for the year ended 31 December 2020 £000 Operating profit 80 Investment income 5 Interest payable (7) Profit before taxation 78 Taxation (14) Profit after taxation 64 Dividends payable (20) Retained profit 44 Balance Sheets 2020 2020 2019 2019 £000 £000 £000 £000 Fixed/Non-current assets Cost 370 290 Depreciation (70) (50) 300 240 Current assets Stock/inventory 95 70 Trade debtors/receivables 75 56 Short-term deposits 35 26 Bank 44 249 152 Current liabilities Trade creditors/payables 40 45 Interest payable 18 23 Taxation payable 10 12 Dividends payable 15 22 Bank…
Can you do 2022 income statement of this table? Statement of Profit or Loss and Other Comprehensive Income Presentation Currency Nature of Financial Statements Revenue Revenue from Finance Sector Operations Total Revenue Cost of Sales Cost of Finance Sector Operations Total Costs Gross Profit (Loss) from Commercial Operations Gross Profit (Loss) from Finance Sector Operations Gross Profit (Loss) Profit (Loss) From Operating Activities Profit (Loss) Before Financing Income (Expense) Profit (Loss) from Continuing Operations, Before Tax Profit (Loss) from Continuing Operations Profit (Loss) from Discontinued Operations Net Profit (Loss) Profit (Loss) Attributable To, Non- controlling Interests Profit (Loss) Attributable To, Owners of Parent Other Comprehensive Income (Loss) Total Comprehensive Income (Loss) Total Comprehensive Income Attributable To, Non-controlling Interests Total Comprehensive Income Attributable To, Owners of Parent 2020/12 1000TL Consolidated 21.529.210 37.824.578…
While calculating operating profit which will be added to net profit a. Profit on Sale of Asset b. Increase in General Reserves c. Interest received d. Refund of Tax
Prepare a Vertical and Horizontal Analysis of the Statement of Comprehensive Income.
A Comparison of Firm Performance 1 2 2013 Financials 3 Net operating revenues 4 Cost of goods sold 5 Gross profit 6 Selling, general, and administrative expense 7 Other costs 8 Operating income 9 Interest expense 10 Other income (loss) - net 11 Income before income taxes 12 Income taxes 13 Net income 14 Assets 15 Cash and cash equivalents 16 Net receivables 17 Inventories 18 Prepaid expenses and other 19 Total current assets 20 Property, plant and equipment 21 Goodwill 22 Other assets 23 Total assets 24 Liabilities and Stockholder Equity 25 Accounts payable 26 Short-term debt 27 Total current liability 28 Long-term debt 29 Other liabilities 30 Total liabilities 31 Stockholder equity 32 B Walmart 469,162 352,488 116,674 88,873 27,801 2,251 187 25,737 7,981 17,756 7,781 6,768 43,803 1,588 59,940 116,681 20,497 5,987 203,105 59,099 12,719 71,818 41,417 113,235 89,870 C Macy's 27,931 16,725 11,206 8,440 88 2,678 388 (134) 2,156 767 1,389 1,836 371 5,308 361 7,876 8,196 3,743 1,176 20,991…
Times interest earned is a measure of the a. gross profit compared to annual interest payments b. operational earnings of the firm (EBIT) compared to annual interest payments c. net earnings after taxes compared annual interest payments d. net earnings before taxes compared to annual interest payments
sales tax is collected from customers and paid to the a. board of equalization b. contract documents c. net profit for the year d. current and long term
Explain how the income statement, which shows a company's financial success over a period of time in terms of the connection between revenues and costs, reports the financial performance of a company.
Golden Corporation's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. Assets Cash Accounts receivable Inventory Total current assets Equipment Accumulated depreciation-Equipment Total assets Liabilities and Equity Accounts payable Income taxes payable Total current liabilities Equity Common stock, $2 par value Paid-in capital in excess of par value, common stock. Retained earnings Total liabilities and equity Sales Cost of goods sold Gross profit GOLDEN CORPORATION Comparative Balance Sheets December 31 GOLDEN CORPORATION Income Statement For Current Year Ended December 31 Operating expenses (excluding depreciation)…
Please type the answer with good explanation
Using the financiaql statements of Top Glove Corporation Berhad for the year 2020, provide and comment on the following: Calculate the profitability, liquidity and effiency ratios of the Top Glove Corporation Berhad company (use the following ratios: gross profit margin, net profit margin, return on capital employed, quick ratio, current ratio, accounts receivable turnover, accounts payables turnover, inventory turnover) for the year 2019 and 2020.