Below are the financial statements of Al Falah Company for the year to June 30, 2011.
M/s AL Falah Company
Comparative Statements of Financial Position
As on June 30, 2011
June 30, June 30,
ASSETS Rs. ?000? Rs. ?000?
Property, plant and equipment 5,200 4,500
Intangibles 1,020 1,250
Long term investments 960 952
Long term deposits and prepayments 227 280
Stores and spares 380 358
Stock in trade 5,775 3,800
Trade debts 6,520 5,220
Loans and advances 1,170 1,270
Trade deposits and short term prepayments 350 240
Other receivables 170 71
Tax refunds due from the Government 962 465
Cash and bank balances 400 1,750
Total assets 23,134 20,156
EQUITY AND LIABILITIES
Capital and Reserves
Share capital 7,000 6,000
Reserves 3,299 2,526
Long-term debt 5,560 4,980
Deferred taxation 750 550
Liabilities against assets subject to finance lease 1,555 1,570
Trade and other payables 2,300 2,100
Accrued interest / mark up 550 500
Short-term borrowings 1,345 980
Current maturity of liabilities against
assets subject to finance lease 775 950
Total equity and liabilities 23,134 20,156
M/s AL Falah Company 2 of 2
Comparative Statements of Comprehensive Income
For the year ended June 30, 2011
Un Audited Audited
June 30, June 30,
Rs. ?000? Rs. ?000?
Sales 24,800 21,500
Cost of sales (16,400) (14,600)
Gross profit 8,400 6,900
Distribution costs (3,007) (2,275)
Administrative expenses (2,100) (1,625)
Other operating expenses (1,540) (1,280)
Other operating income 225 110
Finance costs (885) (725)
Profit before taxation 1,093 1,105
Taxation (320) (325)
Profit after taxation 773 780
In a recent meeting of Management Committee, CFO presented the financial results of the company for the year and discussed the
? Sales of company have increased by Rs. 3.30 million while profit has declined.
? Operating cost of business is increasing.
? Current assets have increased significantly while no major investment is made in fixed assets of the company.
CEO commented, ?inflation rate is 15% on average over the last three years, while exchange rate is also showing increasing trend, our
all raw material is imported and covered 50% of cost of sales, while packaging material is purchased locally showing 30% of cost of
sales. We have to invest more in our plant and machinery to reduce variable cost of product. Power supply is also a big issue that
accounts for 30% of factory overhead, we will use our funds stuck in working capital to invest in these areas to mitigate our operating
You as CFO present to the Board of Directors a report showing financial position of your company for the year and briefly explain the
comments of CEO.
- - - - x x x - - - -
PRESENTATION MARKING PLAN .
Y = YES = 1 Mark N= No = 0 S= Sometimes = ½ Mark
1. Was s/ he dressed well for the presentation? Y / N
2. Did s/ he capture audience attention with the complementary paras in the beginning? Y / N
3. Did s/ he present brief structure (plan) of presentation? Y / N
4. Was s/ he confident with proper eye contact and other gestures? Y / N / S
5. Did s/ he use visual aids, intelligently? Y / N / S
6. Was his/ her pitch sound, fair and audible? Y / N
7. Did s/ he use positive phrasing? (Clarity of language) Y / N
8. Did s/ he conclude the presentation in a complimentary way? Y / N
9. Did s/ he offer any concrete recommendations or suggestions? Y / N
10. Did s/ he handle the questions with ease and comfort? Y / N
1. The student is required to make an oral presentation of 10 minutes before an audience comprising examiners and some students. The
marks to be awarded will depend on the oral presentation with the use of visual aids like charts, graphs, transparencies, etc. The
normal time spent by the student in positioning charts and visual aids will not be reckoned towards the time of 10 minutes allowed for
2. Presentation Evaluators will distribute the Case Study top cover sheet to the candidates before the start of the presentation and ensure
that the candidates have recorded all their particulars correctly as well as staple the top cover sheets with the Case Study to be
3. Candidates are not allowed to write Name, Registration No., Roll No., Name of Centre and any other information inside the Case Study.
Failure to comply with will invalidate the result.
4. Candidates must print or write their Case Study on A ? 4 size papers for submission to the Examiner before / during the presentation.
5. Transparencies should only be used for presentation and shall not be submitted with the project. However, the photocopies of
transparencies may be attached with the Case Study.
6. Use only one side of the page for the Case Study report (solution).
Please give me