For further query you can Contact Us :

msa@msahomeworkhelp.com
MSA Homework Help

Answer

Financial Ratios

$9.99


Information Question 5 (15 marks) The following information has been extracted from the financial statement and notes of Reef Ltd: 2017 2016 Service revenue $580,000 $575,000 Interest expense $23,000 $26,500 Income tax expense $44,600 $53,000 Profit $52,500 $56,100 Preference dividends $2,800 $2,800 Total assets $540,000 $555,000 Total liabilities $300,000 $330,000 Preference share capital $62,000 $62,000 Ordinary share capital $110,000 $100,000 Retained earnings $68,000 $63,000 Required: Evaluate the company’s profitability and financial stability by calculating and analysing the relevant