CONFIDENTIAL4BA/DEC 2019/FIN242/262/260PART BQUESTION 1As a financial manager of Rainbow Holdings, prepare a pro-forma statement ofa)financial position as at 31$t December 2019 and compute additional fund needed bythe firm. The firm's current revenue stood at RM2,375,000 and the firm is planning toincrease its revenue next year by 40 percent. Currently, the firm is operating at fullсарacity.RAINBOW HOLDINGSSTATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2018Cash100,000180,000570,000720,000Accruals47,000200,00060,000228,000Prepaid ExpensesTrade CreditorAccount ReceivableTax AccrualsAccrued wagesNotes PayableInventoriesPlant & Equipment3,000,000175,000Bond1,020,000Common Stock2,000,000Retained Earnings840,000TOTAL ASSETS4,570,000TOTAL LIABILITIES & EQUITIES4,570,000Additional information:The net earnings for the year was RM365,250Dividend currently paid was RM249,375

Additional is required by a firm when it is planning to increase the scale of operation. The…

PART B QUESTION 1 As a financial manager of Rainbow Holdings, prepare a pro-forma statement of a) financial position as at 31st December 2019 and compute additional fund needed by the firm. The firm's current revenue stood at RM2,375,000 and the firm is planning to increase its revenue next year by 40 percent. Currently, the firm is operating at full сарacity. RAINBOW HOLDINGS STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2018 100,000 180,000 570,000 Cash Accruals 47,000 200,000 60,000 Prepaid Expenses Trade Creditor Account Receivable Tax Accruals Accrued wages Notes Payable Inventories 720,000 228,000 175,000 Plant & Equipment 3,000,000 Bond 1,020,000 Common Stock 2,000,000 840,000 Retained Earnings TOTAL ASSETS 4,570,000 TOTAL LIABILITIES & EQUITIES 4,570,000 Additional information: The net earnings for the year was RM365,250 Dividend currently paid was RM249.375

PART B QUESTION 1 As a financial manager of Rainbow Holdings, prepare a pro-forma statement of a) financial position as at 31st December 2019 and compute additional fund needed by the firm. The firm's current revenue stood at RM2,375,000 and the firm is planning to increase its revenue next year by 40 percent. Currently, the firm is operating at full сарacity. RAINBOW HOLDINGS STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2018 100,000 180,000 570,000 Cash Accruals 47,000 200,000 60,000 Prepaid Expenses Trade Creditor Account Receivable Tax Accruals Accrued wages Notes Payable Inventories 720,000 228,000 175,000 Plant & Equipment 3,000,000 Bond 1,020,000 Common Stock 2,000,000 840,000 Retained Earnings TOTAL ASSETS 4,570,000 TOTAL LIABILITIES & EQUITIES 4,570,000 Additional information: The net earnings for the year was RM365,250 Dividend currently paid was RM249.375

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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