PREPARATION AND PRESENTATION OF FINANCIAL STATEMEN: August 2011

PREPARATION AND PRESENTATION OF FINANCIAL STATEMENTS

1 Business Context

To ensure that financial statements are prepared to an adequate level it is important that entities are provided with a basic framework for the preparation of their financial statements. Financial statements should provide users with relevant information. To meet this requirement a number of key statements have been identified which allow users to assess the financial performance and position of an entity as well as its liquidity. The broad structure of financial statements is standardized so that this information is presented in a similar manner by all entities, allowing meaningful comparisons to be made across different entities. Although a basic framework has been identified in IAS 1 Presentation of financial statements, entities also have the flexibility to adapt formats and headings to present their information in a way that aids understanding.

2. Objectives, Scope and Definitions of PRESENTATION OF FINANCIAL STATEMENTS

The purpose of financial statements is to provide information about financial position, financial Performance and cash flows. The objective of IAS 1 is to set out the basis for the presentation of financial statements and to ensure comparability with previous periods and with other entities. The standard identifies a minimum content of what should be included in a set of financial statements as well as guidelines as to their structure, although rigid formats are not prescribed. Examples of the key statements are presented in an appendix to IAS 1, but are clearly identified as being for illustrative purposes only. IAS 1 applies to all general purpose financial statements prepared and presented in accordance with international standards.

“General purpose” financial statements are statements that have been prepared for use by those who are not in a position to require an entity to prepare reports tailored to their own information needs. Reports prepared at the request of an entity’s management or bankers are not general purpose financial statements, because they are prepared specifically to meet the needs of management/bankers. IAS 1 requires that the financial statements should be presented at least annually. If, for example, the entity changes its year end and therefore reports a shorter or longer period, the entity should explain why such a change has been made. Where a shorter or longer period is reported, comparative information will not be entirely comparable and it is important that this is clearly highlighted. [IAS 1.36] A revised version of IAS 1 was issued in 2007, although its adoption is only mandatory for accounting periods beginning on or after 1 January 2009. The main objective of the IASB in revising IAS 1 was to aggregate information in the financial statements on the basis of similar characteristics (i.e. to present transactions with shareholders in their capacity as owners of the entity separately from other transactions). As part of the IASB’s commitment to the convergence of US and international accounting standards, the IASB also adopted a similar presentation of the statement of comprehensive income as required by the US standard, SFAS 130, in its revised standard. As discussed below, the revised version of IAS 1 permits a choice of how to present comprehensive income by using either a single statement or two separate statements. This manual has been written based on the approach that an entity will present a single statement of comprehensive income rather than two separate statements. The rest of this chapter is based on the 2007 revised version of IAS 1.

3. The Complete Set of Financial Statements

As well as setting out what makes up a complete set of financial statements, as shown below, IAS 1 also highlights items that have been identified as being of significant importance and therefore should be disclosed in a particular statement, for example the statement of financial position. Complete set of financial statements [IAS 1.10]

(i) Statement of financial position

(ii) Statement of comprehensive income,

(iii) Statement of changes in equity

(iv) Statement of cash flows

(v) Notes

Assets, liabilities & equity, Income (including gains) and expenses (including losses) All changes in equity Summary of major cash inflows and outflows dealt with in IAS 7 Significant accounting policies and other explanatory notes IAS 1 requires the individual components of the financial statements to be presented with equal prominence in an entity’s complete set of financial statements. [IAS 1.11] Although the financial statements may be included as part of a wider document, IAS 1 requires that they should be clearly identified and distinguished from other information presented, to ensure that there is no confusion over what is within their scope. Additional

Information is identified in IAS 1 as being important to ensure the correct interpretation of information presented. Such information includes, for example, the name of the reporting entity, whether the financial statements are for an individual entity or a group, the period which the financial statements cover, the currency used to present the financial statements and the level of rounding used, for example, thousands or millions. [IAS 1.51]

3.1 The Statement of Financial Position (SFP)

Although no prescribed format for the statement of financial position is required by IAS 1, it does set out the minimum information which is required to be presented in the statement, as set out below: [IAS 1.54]

(i) property, plant and equipment;

(ii) investment property;

(iii) intangible assets;

(iv) financial assets not disclosed in other headings below;

(v) investments accounted for using the equity method;

(vi) biological assets;

(vii) inventories;

(viii) assets/disposal groups classified as held for sale;

(ix) trade and other receivables;

(x) cash and cash equivalents;

(xi) liabilities included in disposal groups classified as held for sale;

(xii) trade and other payables;

(xiii) provisions;

(xiv) financial liabilities not disclosed in other headings above;

(xv) liabilities and assets for current tax;

(xvi) deferred tax liabilities and assets;

(xvii) non-controlling interest, presented within equity; and

(xviii) issued capital and reserves attributable to owners of the parent.

The above information is considered to be sufficiently different in nature or function to warrant separate presentation. The descriptions used and the ordering of items may be amended if by doing so the new presentation provides more relevant information to the users of the financial statements. Additional line items, headings and subtotals should be added where relevant to the understanding of the financial statements. Generally an entity will separate current and non-current assets and liabilities (see below for information on these categorizations) in the statement of financial position. Where this presentation is followed, IAS 1 specifically states that deferred tax balances should be reported as non-current items. [IAS 1.55, 1.56] Further sub-classifications of headings should be presented either in the statement of financial position or within the notes and are generally necessary to meet the requirements of other standards. For example, IAS 16 Property, plant and equipment requires information to be disaggregated into classes of assets, for example freehold buildings, plant and machinery and office equipment. IAS 1 also requires that specific information is presented in relation to the share capital of the entity. These disclosures include identifying: [IAS 1.79]

(i) the number of shares authorized;

(ii) the number of shares issued and fully paid, and issued but not fully paid; and

(iii) The par (nominal) value per share, or that the shares have no par value. In addition, a full reconciliation of the movement during the year in the number of shares outstanding is required, specifying any rights, preferences and restrictions attaching to the shares. Disclosure should also be made of any shares in the entity, held by the entity or by its subsidiaries or associates and any shares reserved for issue under options and contracts for the sale of shares. Where an entity does not have share capital, equivalent information should be disclosed. An illustrative statement of financial position is set out in the Guidance accompanying the standard.

3.2 The Statement of Comprehensive Income (SOCI)

IAS 1 states that, as a minimum, the following information is required to be presented in the statement of comprehensive income for the period:

(i) revenue;

(ii) finance costs;

(iii) share of the profit or loss of associates and joint ventures accounted for using the equity method;

(iv) tax expense;

(v) an aggregate figure for the profit or loss of discontinued operations and the gain or loss in relation to the re-measurement, or disposal, of discontinued operations;

(vi) profit or loss;

(vii) share of other comprehensive income of associates and joint ventures accounted for using the equity method;

(viii) each component of other comprehensive income classified by nature;

(ix) total comprehensive income;

(x) the profit or loss attributable to non-controlling interest and that attributable to owners of the parent; and

(xi) The total comprehensive income attributable to non-controlling interest and that attributable to owners of the parent.

Other comprehensive income comprises items of income and expense which are not required by other IFRS to be recognized in profit or loss. Examples are changes in revaluation surplus measured in accordance with IAS 16 or IAS 38 Intangible assets, actuarial gains and losses on defined benefit plans measured in accordance with IAS 19 Employee benefits and gains and losses on re-measuring available-for-sale financial assets in accordance with IAS 39

Financial instruments: recognition and measurement.

IAS 1 permits a choice as to how to present comprehensive income:

(i) in a single statement of comprehensive income; or

(ii) In two statements: an income statement (which includes only those items which are required to be recognized in profit or loss) and a statement of comprehensive income (which begins with the profit or loss per the income statement and then displays the components of other comprehensive income). As explained above for the presentation of the statement of financial position, additional line items, headings, sub-classifications and subtotals should be added where relevant to the understanding of the financial statements. If an item of income or expenditure is important to the fundamental understanding of the performance of the entity during the period, this item should be disclosed separately. Examples of such items include a significant write down (a loss in value) of property, disposals of investments or where the entity has discontinued some of its operations during the period. [IAS 1.97] Entities are required to present an analysis of expenses recognized in profit or loss, but IAS 1 permits a choice as to how the expenses are classified. The classification should be based either on the nature of expenses, highlighting the main types of expenditure incurred, for example staff costs and raw materials, or on the function of expenses. The latter classification presents expenses under headings such as cost of sales or administration costs; this classification generally requires considerable judgments to ensure that allocations of the expenditure are appropriate. [IAS 1.99] Illustrative statements of comprehensive income in the single and two statement formats are set out in the Guidance accompanying the standard.

3.3 Current/non-current distinction

IAS 1 requires that both assets and liabilities should be classified separately as current and non-current. For most businesses it will be appropriate to identify this classification with reference to their operating cycle. This separate classification identifies how an item will be utilized within a business. For example, a motor dealer sells motor vehicles, whereas another business may hold such assets for use by the directors over a number of years. [IAS 1.60] The operating cycle of a business is the period between the commencement of work on behalf of a customer and the receipt of the final payment against outstanding invoices. For a manufacturing entity the operating cycle begins with the purchase of raw materials, spans the work in progress, finished goods and delivery stages and finishes when the payment is received. For some businesses this may be a relatively short period, while in others it may not be possible to identify clearly when the cycle starts and finishes; in these circumstances it is taken to be twelve months. That is not to say that an operating cycle cannot be more than twelve months in length; for contractors working on large construction projects, such as Terminal 5 at London’s Heathrow Airport, the operating cycle may be much longer. IAS 1 sets out four criteria which identify when an entity should classify an asset as current. Items falling outside these criteria should be classified as non-current. The criteria are that the entity expects to use or sell the asset in its normal operating cycle, it holds the asset primarily for trading rather than long-term usage within the business, it expects to realize the asset, for example sell it for cash, within twelve months after the reporting period or the asset is cash or a cash equivalent to which the entity has access within twelve months after the reporting period. So the motor vehicles held by the motor dealer should be classed as current assets whereas the vehicles used by the directors should be classed as non-current assets.

There are very similar criteria for identifying a current liability, for example, the entity expects to settle the liability within its normal operating cycle, it holds the liability primarily for trading purposes, the liability is due to be settled within twelve months after the reporting period or the entity has no unconditional rights to defer payment for at least twelve months after the reporting period. [IAS 1.69] An entity is required to disclose amounts expected to be recovered or settled after more than twelve months for each asset and liability line item. [IAS 1.61]

3.4 The Statement of Changes in Equity (SOCE)

The statement of changes in equity should include:

(i) total comprehensive income for the period, showing separately the amounts due to owners of the parent and to non-controlling interests;

(ii) for each component of equity the effect of any change in accounting policy or of any correction of errors;

(iii) for each component of equity a reconciliation of the carrying amount at the beginning and the end of the period, separately disclosing changes resulting from:

(iv) profit or loss;

(v) each item of other comprehensive income; and

(vi) Transactions with owners in their capacity as owners, showing separately contributions by them (e.g. an issue of shares for cash) and distributions to them (e.g. dividends paid).

In addition, information should be disclosed either in the statement of changes in equity or in the notes, in respect of the amount of dividends recognized in the period and the related amount per share.

3.5 The statement of cash flows

Cash flow information provides users of the financial statements with information to assess an entity’s ability to generate cash and how it utilizes the cash in its operations. Requirements for the preparation of a statement of cash flows are set out in IAS 7 Statement of cash flows.

3.6 Notes

The notes provide additional relevant information to ensure that users fully understand the financial statements of an entity. Notes can be in a number of forms, for example narrative disclosures, disaggregating of information presented elsewhere in the financial statements or additional information which has not been presented elsewhere in the financial statements but is relevant to the understanding of any of them. [IAS The notes should present information about the basis of preparation of the financial statements and set out the specific accounting policies followed and judgments made by management in applying them. In addition, information should be provided on the key assumptions made by management concerning the future and the uncertainty of estimates that have been made, which may lead to significant adjustments having to be made in the next financial year. In such circumstances information should be provided on the nature of these items and their carrying amount at the end of the reporting period. The notes should be presented in a systematic order, for example following the order in which items are presented elsewhere in the financial statements, and there should be full cross referencing between the individual statements and the notes. Specific information should be included in the notes about the overall entity, for example the country of incorporation, domicile, the legal form of the entity and its registered address. A description of the nature of the entity’s operations and its principal activities along with the name of its parent and, where appropriate, the ultimate parent of the group should be provided. Information should also be provided on dividends that were proposed or declared before the financial statements were authorized for issue but have not been recognized as a distribution in the period, with disclosure of the related amount per share and the amount of any cumulative preference dividend not recognized.

4. Overall Considerations

Much of the material covered in the rest of this chapter on IAS 1 details the specific application within financial statements of the general principles dealt with in the IASB Framework.

4.1 Fair presentation and compliance with IFRS

IAS 1 requires that the financial statements should present fairly the financial position, financial performance and cash flows of the entity. Fair presentation is defined as representing faithfully the effects of transactions, other events, and conditions in accordance with the definitions and recognition criteria in the IASB Framework. Under IAS 1 application of international standards along with any relevant interpretations and disclosures is presumed to result in a fair presentation. [IAS 1.15] To achieve fair presentation in a set of financial statements an entity should also select and apply the most appropriate accounting policies in accordance with IAS 8 Accounting policies, changes in accounting estimates and errors. An entity cannot simply rectify the inappropriate use of accounting policies through disclosure. [IAS 1.18] If a set of financial statements complies with International Financial Reporting Standards (IFRS), then those financial statements should include an explicit and unreserved statement to that effect. Such disclosure can only be made when the financial statements comply with all IFRS requirements; management is not permitted to cherry pick requirements. [IAS 1.16] IAS 1 sets out procedures to be followed when management concludes that compliance with an IFRS would be so misleading as to conflict with the objectives of the financial statements as set out in the IASB Framework. It is thought that in practice such circumstances are likely to be extremely rare. If, however, such circumstances did exist, then management should depart from the particular requirement, provided that to do so would not be inconsistent with the regulatory framework in which the entity operates. If there has been a departure from an international standard, then this should be fully explained, setting out the circumstances that led to the departure, quantifying the effect on all periods reported and stating specifically what the departure is. Disclosure is also required if a departure arose in the previous period but still affects the financial statements of the current period.

4.2 Offsetting

Assets and liabilities should not be offset against each other unless this is specifically required or permitted by a standard. This is because the offsetting or netting of items is assumed to make it more difficult for the users of financial statements to understand past transactions and assess future cash flows.

4.3 Other considerations

In order for financial statements to be comparable, certain overall considerations need to be followed in the preparation of the financial statements, as set out below.

4.3.1 Going concern

When preparing a set of financial statements management should assume, unless there are specific reasons to believe otherwise, that the business will continue to operate for the foreseeable future. This is known as the going concern concept. This is particularly relevant when management make estimates about the expected outcome of events, such as the recoverability of trade receivables and the useful lives of non-current assets.

4.3.2 Accrual concept

Financial statements should be prepared by applying the accrual concept. In its simplest form the accrual concept means that assets are recognized when they are receivable rather than when physically received, and liabilities are recognized when they are payable rather than when actually paid. This is not relevant for the preparation of the statement of cash flows which is based purely on cash flows.

4.3.3 Consistency of presentation

To aid comparability of financial statements year on year and across different entities it is important that a consistent presentation and classification of items is followed. The presentation should only be changed where a new or revised standard requires such a change or where there has been a significant change in the nature of the entity’s operations and a new presentation would therefore be more appropriate.

4.3.4 Materiality and aggregation

IAS 1 requires that items that are of importance to the users of the financial statements in making economic decisions should be separately identified within the financial statements. Such items are defined as being “material”. In assessing whether items are considered to be material, the entity should consider both the nature and size of the item. For example, the purchase of large tangible assets may be common for a particular entity, and therefore it would generally be appropriate to aggregate such items together as the purchase of plant. However, a fairly small transaction with a director may be considered as important information for users of the financial statements.

4.3.5 Comparative information

Comparative information for the previous period should be disclosed for all amounts reported in the financial statements unless a particular standard does not require such information. This includes the requirement to show comparative information in narrative disclosures where it is relevant to the full understanding of the explanation. [IAS 1.38] If adjustments to prior periods have been made as a result of a change in accounting policy or of correction of errors, a statement of financial condition at the beginning of the previous period should be presented.

4.3.6 Additional disclosures

A number of additional disclosures are required by IAS 1 to ensure that users of the financial statements understand the basis on which the information presented in the financial statements has been prepared. These additional disclosures which should be presented include: the measurement basis used in the preparation of the financial statements, judgments that have been made in applying an entity’s accounting policies, and assumptions that an entity has made over the uncertainty of making estimations.

Format of Cost goods sold Statement:

NAME OF THE COMPANY

A COST OF GOODS SOLD STATEMENT (MERCHANDISING CONCERN)

For the year ended

PARTICULARS	AMOUNT	AMOUNT
Beginning merchandise inventory		*******
Add: Purchase	******
Less: Purchase returns and allowances	*****
Less: Purchase discounts and allowances	*****
Add: freight in	******
Import duty	******
Purchase related expenses	******
Cost of purchase		********
Cost of goods available for sale		******
Less: Ending Merchandise inventory		******
COST OF GOODS SOLD		*******

NAME OF THE COMPANY

A COST STATEMENT (MANUFACTURING CONCERN)

For the year ended

PARTICULARS

AMOUNT

Operating stock / Inventory of raw materials ----

Add.Net Purchases of Raw Materials:

Total purchases of Raw Materials-------

Ded. Purchase return

Ded. Purchase discount / discount received----

Net Purchases------------

Add. Expenses Relating to purchase

Net Cost of Purchases-----------------

Raw Materials Available for Use------

Ded. Value of closing stock of Raw Materials---------

Cost of Raw Materials / Direct Material Consumed/ Direct Material Used -----------------------------------------

Add. Direct Labor cost / Wages-----------------------------------

Add. Direct Expenses------------------------------------------------

Variable / Direct / Prime / Marginal Cost ------

Add. Secondary cost / Indirect cost / Factory overhead/Manufacture over head:

Add. Indirect Materials

add. Indirect labor cost

add. Indirect Expenses:

Factory/ Production Managers Salary

Factory/ Production Executive Salary

Factory/ Production Insurance Premium

Repair & Maintains Factory building

Depreciation on factory assets

Factory rent

Factory Tax

Factory Insurance Premium

Factory Electricity

Factory Water

Factory Fuel

Factory Gas

Mechanical Instructions fees

Repair & Depreciation of Machinery

Stationery used in Factory

Drawing Office Salary

Factory Workers welfare expenses

Product control expenses

Lighting & Heating(Factory)

Drawing office Expenses

Works Stationary

Workers Managers Salary

Insurance, Fixed assets

Insurance Stock & Finish goods

Loose Tolls – Very Small

Total Secondary Cost/ Over head cost ----------------------------

Total Manufacturing Cost/Work Cost -----

Ded. Sell of Scrap / old equipments----------------------

Add. Opening Stock of work in progress------------------

Total Work in Progress--------

Ded. Closing Stock of Work in Process---------------------

Cost of goods Manufactured--------

Add. Opening stock of finished goods --------

Cost of gods Available for Sale------------

Ded. Closing Stock of Finished goods ------------------------

Cost of goods sold-------------------------

Add. Commercial Expenses:

Office and Administrative expenses:

Plant manager / Managers Salary-----------------------------------

Officers Salary-----------------------------------------

Employees Salary--------------------------------------

Directors Fees------------------------------------------

Printing & Salaries------------------------------------

Office rent, water, Electricity -----------------------

Rates & Taxes -----------------------------------------

Postage & Telegram ----------------------------------

Audit fees-----------------------------------------------

Law charge / Legal Expenses------------------------

Repair of office Building -----------------------------

Depreciation of Office Building or Furniture ------

Selling & Distribution Expenses:

Sales office salary, Fees, Commission--------------

Bad Debts-----------------------------------------------

Commission--------------------------------------------

Advertising expenses ---------------------------------

Show room Expenses---------------------------------

Packing Expenses -------------------------------------

Sales Tax -----------------------------------------------

Carriage Out Ward ------------------------------------

Sample & other free gifts---------------------------

Sales men Salaries / Traveling expenses of sales men----------

Salaries Directors ------------

Total Commercial Expenses -------

Cost of Sales----------

Profit or Loss---------------------

Net Sales----------

*******

(*******)

*******

******

*****

******

*****

******

*****

*******

******

*******

********

*********

(********)

********

*********

********

(*****)

*******

(*******)

*******

(*******)

*******

*********

Format of Statement of Financial Performance:

NAME OF THE COMPANY

A Statement of Financial Performance

For the year ended ………………

Particular

Amount

Net Sale/ Often Simple Sale:

Gross Sales ----------------

Less: Sales Return & allowances

Less: Sales Discount & Allowance

Net Sales-------------

Less: Cost Of Goods Sold:

Beginning Finished Goods Inventory

Add. Purchase

Less: Purchase return and allowance

Less: Purchase discount and allowance

Net Purchase

Add: freight in

Wages expenses

Transportation in

Import duty

Other direct Expenses

Cost of goods purchased

Cost of goods Available for Sale------------

Less: Ending Finished Goods-----------------------------

Cost of Goods Sold-------------

Gross Profit

Less: Operating Expenses:

Selling expenses-------------------------------

Administrative expenses---------------------

Total Operating Expenses------------------

Net income from Operation

Add. Non operating revenues

Less: Non-Operating Expenses

Net Income Before Tax-(EBIT)

Less: Provision for income tax

Net Income / Income After Tax-------------------

********

(*******)

********

(********)

********

*********

(********)

********

(********)

********

*******

(*******)

********

NAME OF THE COMPANY

Retained Earnings Statement

For the year ended

Particulars

Amount

Undistributed Income:

Beginning retained earnings balance/Prior period adjustments

Add: Current year net income

Other distributable amount:

Amount withdrawn from general reserve

Income tax refund

Excess provision of income tax

Inventory under costs

Total distributable amount

Less: Distributions:

Dividend on ordinary share

Dividend on Preference share

Cash dividends

Stock dividend

Interim dividend

Transfer in fund

General reserve

Dividend equalization fund

Under provision of income tax (Income tax paid-opening provision)

Inventory over costs

Total Distribution

Closing Retained earnings balance transferred to the SOCE)

********

-------

********

NAME OF THE COMPANY

A Statement of Comprehensive Income

For the year ended

Particulars

Amount

Net income

Add:

Other comprehensive income-unrealized holding gain-net of net

Comprehensive income

********

NAME OF THE COMPANY

A Statement of Changes in Equity

For the year ended

Particulars

Amount

Beginning common stock

Add: Additional paid in capital

Add: Comprehensive income

Add: Retained earnings balance

Add: Accumulated other comprehensive income

Ending Balance

********

*****************

NAME OF THE COMPANY

Statement of Financial Position

As at ………………

Assets

Amount

Current Assets:

Cash & Cash Equivalents

Petty cash

Less: Cash restricted for plant expansion

Less: Deficit

Accounts Receivable (Net )

Notes Receivable

Less: Allowance for doubtful debts

Loans and advances to subsidiary

Bill in deposit with agent

Accrued revenues

Accounts receivable is pledged as collateral on bank loan

Restricted securities-current portion

Inventories (Merchandise)

Less: Merchandise out on consignment

Prepaid pension benefits

Product and Other insurance receivables

Accrued interest on notes receivable

Machinery retired from use and held for sale

Subscriptions receivable on common stock

Subscription receivable on preferred stock

Marketable securities

Commercial securities

Commercial paper

Trade Securities

Bill of exchange

Deposit with customers

Prepaid Expenses/Prepayments of rates, taxes & insurance

Investment securities available for sale

Restricted Cash & Investment

Restricted securities

Short term cash investment

Installments loans and contracts

Deferred advertisement

Unadjusted VAT Manufacturing Inventories:

Raw Materials Inventories, ending balance-----

Work in progress Inventory, Ending Balance----

Finish goods Inventory, Ending Balance----

Total Current Assets-------

Non-current assets:

Land

Building

Machinery & Equipment

Less: Accumulated Depreciation

Less: Accumulated impairment loss

Leasehold property

Capitalize lease

Tools, dies and Molds

Development of property

Intangible Assets:

Goodwill

Trademarks

Newspaper mastheads

Internet domain names

Non competion agreements

Company names

Customer list

Order or production backlogs

Rights to play

Literary works

Musical Works

Pictures

Photographs

Audiovisual materials

License

Franchise

Brand names

Secret Process

Less: Accumulated amortization

Investments:

Investment in Government and Trust securities

Investments in shares

Investments in stock

Investment in affiliated companies

Long term Investments in stock

Investment in debentures

Investments in bonds

Investments in immovable properties

Investment in the capital of partnership firms

Natural Assets:

Gold

Silver

Coal

Minerals

Oil

Gas

Less: Accumulated depletion

Biological Assets:

Animals

Trees

Total Assets

Current Liabilities :

Short term loans and advances from banks and from other sources

Current portion of long term debt

Accounts Payable for goods

Accounts Payable for services

Notes payable to banks

Estimated Income Tax Payable

Advances from customers

Dividend payable

Deposit receivable from customers

Remuneration payable to MD

Proposed dividend

Unearned apprenticeship premium

Subsidiary companies

Advance payments

Interest on loan

Others current liabilities

Total Current Liabilities

Long term secured loan:

-Debentures

-Loans and advance from bank

-Loan and advance from subsidiary company

-Other loans and advance

Long term unsecured loan:

-Fixed deposit

-Other loans and advance from bank

-Loan and advance from subsidiary company

-Other loans and advance

Long term Debt

Bonds payable

Premium on bonds

Total liabilities

Stockholder Equity:

Common stock

Retained Earnings balances

Total stockholder equity

Total liabilities & stockholder equity

******

*****

****

******

-----------------

******

Thursday, August 11, 2011