Q.No.1 you are required to perform Vertical analysis for both the statement (provided above). Analyze both the statements, provide interpretation and a comprehensive judgement as if the company is lucrative for the purpose of investment for the investors or not. Q.No.2 you are required to perform Horizontal analysis for both the statement (provided above). Analyze both the statements, provide interpretation and a comprehensive judgement as if the company is lucrative for the purpose of investment for the investors or not.
Q.No.1 you are required to perform Vertical analysis for both the statement (provided above). Analyze both the statements, provide interpretation and a comprehensive judgement as if the company is lucrative for the purpose of investment for the investors or not. Q.No.2 you are required to perform Horizontal analysis for both the statement (provided above). Analyze both the statements, provide interpretation and a comprehensive judgement as if the company is lucrative for the purpose of investment for the investors or not.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Q.No.1 you are required to perform Vertical analysis for both the statement (provided above). Analyze both the statements, provide interpretation and a comprehensive judgement as if the company is lucrative for the purpose of investment for the investors or not.
Q.No.2 you are required to perform Horizontal analysis for both the statement (provided above). Analyze both the statements, provide interpretation and a comprehensive judgement as if the company is lucrative for the purpose of investment for the investors or not.
Transcribed Image Text:Statement of Profit or Loss
For the year ended 31 December 2020
2020
2019
Note
Rupees
Rupees
Sales - net
28
5,699,723,002
12,174,418,992
Cost of sales
29
Gross (loss) profit
(6,872,441,922)
(1,172,718,920)
(10,601,349,400)
1,573,069,592
Selling and distribution expenses
Administrative and general expenses
(222,429,800)
(323,405,494)
(5,435,819)
30
(524,761,227)
31
(296,399,918)
Other expenses
32
(1,556,610)
(551,271,113)
(822,717,755)
Other income
33
182,605,940
1,579,058,848
Operating (loss)/Income
2,329,410,685
(1,541,384,093)
Finance cost
34
(2,945,134,522)
(3,300,421,547)
Loss before taxation
(4,486,518,615)
(971,010,862)
Taxation for the year
35
189,618,160
(4,296,900,455)
318,234,006
(652,776,856)
Loss after taxation
Loss per share - basic and diluted
36
(10.95)
(1.66)
Statement of Financial Position
as at 31 December 2020
2020
2019
Note
Rupees
Rupees
EQUITY AND LIABILITIES
Authorized share capital
4
15,000,000,000
15,000,000,000
Share capital and reserves
Issued, subscribed and paid-up ordinary share capital
3.924.300.000
3,924,300,000
Reserves
9,000,000
9,000,000
(21,630,116,483)
24,137,480,414
Accumulated losses
(17,943,049,039)
24,745,841,418
10,736,092,379
Surplus on revaluation of property, plant and equipment - net of tax
6,440,663,931
Non-current labilities
s
Redeemable capital-secured
Long term finances-secured
Convertible, redeemable preference shares
10
1,593,342,690
1,593,342,690
Long term payable - unsecured
11
1,740,315,519
2,241,502,508
Deferred iabilities
12
8,892,070,120
9,177,221,791
12,225,728,329
13.012.066.989
Current liabilities
Current maturity of long term liabilities
13
19.278.671.712
19.304.061.923
Short term borrowings-secured
Trade and other payables
14
3,646,985,016
3,626,035,840
15
2,296,715,315
1,816,409,524
Interest / mark-up accrued on borrowings
16
21,731,686,709
19,260,897,262
Preference dividend payable
17
1,556, 102,687
1,380,354,802
48,510,161,439
45,387,759,351
67,176,553,699
69,135,918,719
Contingencies and commitments
18
L
ASSETS
Non-current assets
Property, plant and equipment
19
58,535,893,173
60,043,380,678
Intangible assets
20
2,567,310,828
2,567310,828
Long term loans and advances-considered good
21
11,941,876
14,289,695
Long term deposits-unsecured considered good
22
58,884,712
44,986,934
61,174,030,589
62,669.968,135
Current assets
Stores, spare parts and loose tools
23
2,051,915,868
2,098,888,058
Stock-in-trade
24
456,581,089
787,565,071
Trade debts
25
489.620
Advances, deposits, prepayments and other receivables
26
2,569,711,620
2,872.621,399
Tax refunds due from Government - net
128,486,262
144,377,100
Cash and bank balances
27
795,338,651
562,498,956
6,002,523,110
67,176,553,699
6,465,950,584
69,135,918,719
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