9 4. Refer to the following comparative balance sheet /financial position and income statement for Samsung...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
9 4. Refer to the following comparative balance sheet /financial position and income statement for Samsung Electronics on page 3 and page 4 of this exam book. Use either the USD denominated or Korean Won Denominated to answer the following questions( disregard the notes in the financial statements): (I) Determine the following ratios for the year 2013 and 2014 respectively (10 Marks) a. Two liquidity ratios (current and quick ratios) b. Four activity or turn over ratios( Inventory, Receivable, fixed asset and total asset) c. Three leverage / debt management ratios (debt to equity, debt ratio, interest cover d. Four profitability ratios (II) Write a brief note on the above ratios (5 Marks) (III) Assuming that Samsung electronics is operating at full capacity, and the company is projecting a 40% increase in sales for the year 2015, determine additional funding needed to meet the specified target using the AFN formula. Assume that all financial statements elements are spontaneously changing with change in sales.( show all your steps) ( 10 Marks) *****1214 2| Page J (In millions of Korean won, in thousands of US dollars (Note 2.1)) Revenue Cost of sales Samsung Electronics Co., Ltd. and Subsidiaries INTERIM CONSOLIDATED STATEMENTS OF INCOME Gross profit Selling and administrative expenses Operating income Other non-operating income Other non-operating expenses Share of profit of associates and joint ventures Finance income Finance costs Profit before income tax Income tax expense Profit for the period Assets Current assets Cash and cash equivalents Short-term financial instruments Short-term available-for-sale financial assets Trade and other receivables Advances Prepaid expenses Inventories Other current assets Assets held for sale Total current assets Non-current assets. Long-term available-for-sale financial assets Investments in associates and joint ventures Property, plant and equipment Intangible assets Long-term prepaid expenses Deferred income tax assets Other non-current assets Total assets *****1214 Notes 3 3 Notes 3 3 17 3,4 6 7 8 17, 18 19. 19 6 20 20 21 (In millions of Korean won, in thousands of US dollars (Note 2.1)) March 31, 2014 KRW 2014 KRW 53,675,326 32,049,515 For the three months ended March 31, 2013 KRW 21,625,811 21,488,740 13,137,012 12,709,282 8,779,458 216,166 315,315 8,488,799 1,911,596 949,971 30,136 1,450,291 1,281,881 9,648.970 2,074,529 7,574,441 18,150,284 41,261,844 2,066,226 27,492,283 1,901,717 3,520,559 19,648,481 2,204,609 116.246,003 52,868,095 31,379,355 8,139,616 6,537,343 76,519,036 Samsung Electronics Co., Ltd. and Subsidiaries INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION 4,120,237 5,472,058 4,542,095 3,716,208 225,292,596 177,936 1,927,621 1,740,429 9,045,437 1,890,496 7.154,941 December 31, 2013 KRW 16,284,780 36,722,702 1,488,527 27,875,934 1,928,188 2,472,950 19,134,868 2,135,589 2,716,733 110,760,271 2014 USD 6,238,380 6,422,292 75,496,388 3,980,600 3,465,783 4,621,780 3,089,524 214,075,018 50,220,178 29,986,447 20,233,731 12,291,366 7,942,365 1,788,544 888,820 28,196 1,356,934 1,199,365 9,027,854 1,940,989 7,086,865 March 31, 2014 USD 2013 USD 49,464,909 29,359,426 20,105,483 11.891.170 8,214,313 202 251 205,018 16,981,929 38,605,767 166,4821 1,803,538 1,628,395 8,463,171 1,768,803 6,694 368 1,933,220 25,722,570 1,779,301 3,293,936 18,383,684 2,062,696 108,763.103 7,615,659 6,116,526 71,593,409 3,855,012 5,119,815 4,249,715 3,476,988 210.790,227 December 31. 2013 USD 15.236.508 34,358,815 1.392,709 26,081,525 1,804,068: 2.313,763 17.903.132 1.998,118 2,541.853 103.630,491 5,836.808 6,008,881 70,636.591 3,724.364 3,242,686 4,324,270 2.890,649 200.294.740 3 Page Liabilities Current liabilities Trade and other payables Short-term borrowings Advances received Withholdings Accrued expenses Income tax payable Current portion of long-term borrowings and debentures Provisions Other current liabilities Total current liabilities Non-current liabilities Long-term trade and other payables Debentures Long-term borrowings Net defined benefit liabilities Deferred income tax liabilities Provisions Other non-current liabilities Total liabilities Total equity 3 3,9 *****1214 3,9, 10 12 3 3,10 3.9 11 12 21,889.330 7,282,569 1,645,539 1,184,536 8,361,529 5,116,692 1,222,558 7,153,996 501,924 54,358,673 2,739,218 1,326,287 2,647,966 2,205,467 4,765,348 526,794 1,161,119 69,730,872 155,561,724 17,633,705 6,438,517 1,706,313 1,176,046 11,344,530 3,386,018 2.425,831 6,736,476 467.973 51.315,409 1,053,756 1,311,068 985,117 1,854,902 6,012,371 460,924 1,065,461 64,059,008 Total liabilities and equity 225,292,596 214,075,018 Source: Adopted from the annual report of Samsung electronics 150,016,010 20,480,286 6,813,781 1,539,614 1,108,286 7,823,287 4,787,324 1,143,860 6,693,484 469,615 50,859,537 2,562,891 1,240,912 2,477,513 2,063,498 4,458,597 492,884 1,086,376 65,242,208 145.548,019 210,790,227 4| Page 16,498,601 6,024,062 1.596,475 1,100,342 10,614,268 3,168,056 2,269,677 6,302,841 437,849 48,012,171 985,924 1.226,673 921,704 1,735,500 5.625,347 431.254 996,876 59,935,449 140.359,291 200,294,740 9 4. Refer to the following comparative balance sheet /financial position and income statement for Samsung Electronics on page 3 and page 4 of this exam book. Use either the USD denominated or Korean Won Denominated to answer the following questions( disregard the notes in the financial statements): (I) Determine the following ratios for the year 2013 and 2014 respectively (10 Marks) a. Two liquidity ratios (current and quick ratios) b. Four activity or turn over ratios( Inventory, Receivable, fixed asset and total asset) c. Three leverage / debt management ratios (debt to equity, debt ratio, interest cover d. Four profitability ratios (II) Write a brief note on the above ratios (5 Marks) (III) Assuming that Samsung electronics is operating at full capacity, and the company is projecting a 40% increase in sales for the year 2015, determine additional funding needed to meet the specified target using the AFN formula. Assume that all financial statements elements are spontaneously changing with change in sales.( show all your steps) ( 10 Marks) *****1214 2| Page J (In millions of Korean won, in thousands of US dollars (Note 2.1)) Revenue Cost of sales Samsung Electronics Co., Ltd. and Subsidiaries INTERIM CONSOLIDATED STATEMENTS OF INCOME Gross profit Selling and administrative expenses Operating income Other non-operating income Other non-operating expenses Share of profit of associates and joint ventures Finance income Finance costs Profit before income tax Income tax expense Profit for the period Assets Current assets Cash and cash equivalents Short-term financial instruments Short-term available-for-sale financial assets Trade and other receivables Advances Prepaid expenses Inventories Other current assets Assets held for sale Total current assets Non-current assets. Long-term available-for-sale financial assets Investments in associates and joint ventures Property, plant and equipment Intangible assets Long-term prepaid expenses Deferred income tax assets Other non-current assets Total assets *****1214 Notes 3 3 Notes 3 3 17 3,4 6 7 8 17, 18 19. 19 6 20 20 21 (In millions of Korean won, in thousands of US dollars (Note 2.1)) March 31, 2014 KRW 2014 KRW 53,675,326 32,049,515 For the three months ended March 31, 2013 KRW 21,625,811 21,488,740 13,137,012 12,709,282 8,779,458 216,166 315,315 8,488,799 1,911,596 949,971 30,136 1,450,291 1,281,881 9,648.970 2,074,529 7,574,441 18,150,284 41,261,844 2,066,226 27,492,283 1,901,717 3,520,559 19,648,481 2,204,609 116.246,003 52,868,095 31,379,355 8,139,616 6,537,343 76,519,036 Samsung Electronics Co., Ltd. and Subsidiaries INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION 4,120,237 5,472,058 4,542,095 3,716,208 225,292,596 177,936 1,927,621 1,740,429 9,045,437 1,890,496 7.154,941 December 31, 2013 KRW 16,284,780 36,722,702 1,488,527 27,875,934 1,928,188 2,472,950 19,134,868 2,135,589 2,716,733 110,760,271 2014 USD 6,238,380 6,422,292 75,496,388 3,980,600 3,465,783 4,621,780 3,089,524 214,075,018 50,220,178 29,986,447 20,233,731 12,291,366 7,942,365 1,788,544 888,820 28,196 1,356,934 1,199,365 9,027,854 1,940,989 7,086,865 March 31, 2014 USD 2013 USD 49,464,909 29,359,426 20,105,483 11.891.170 8,214,313 202 251 205,018 16,981,929 38,605,767 166,4821 1,803,538 1,628,395 8,463,171 1,768,803 6,694 368 1,933,220 25,722,570 1,779,301 3,293,936 18,383,684 2,062,696 108,763.103 7,615,659 6,116,526 71,593,409 3,855,012 5,119,815 4,249,715 3,476,988 210.790,227 December 31. 2013 USD 15.236.508 34,358,815 1.392,709 26,081,525 1,804,068: 2.313,763 17.903.132 1.998,118 2,541.853 103.630,491 5,836.808 6,008,881 70,636.591 3,724.364 3,242,686 4,324,270 2.890,649 200.294.740 3 Page Liabilities Current liabilities Trade and other payables Short-term borrowings Advances received Withholdings Accrued expenses Income tax payable Current portion of long-term borrowings and debentures Provisions Other current liabilities Total current liabilities Non-current liabilities Long-term trade and other payables Debentures Long-term borrowings Net defined benefit liabilities Deferred income tax liabilities Provisions Other non-current liabilities Total liabilities Total equity 3 3,9 *****1214 3,9, 10 12 3 3,10 3.9 11 12 21,889.330 7,282,569 1,645,539 1,184,536 8,361,529 5,116,692 1,222,558 7,153,996 501,924 54,358,673 2,739,218 1,326,287 2,647,966 2,205,467 4,765,348 526,794 1,161,119 69,730,872 155,561,724 17,633,705 6,438,517 1,706,313 1,176,046 11,344,530 3,386,018 2.425,831 6,736,476 467.973 51.315,409 1,053,756 1,311,068 985,117 1,854,902 6,012,371 460,924 1,065,461 64,059,008 Total liabilities and equity 225,292,596 214,075,018 Source: Adopted from the annual report of Samsung electronics 150,016,010 20,480,286 6,813,781 1,539,614 1,108,286 7,823,287 4,787,324 1,143,860 6,693,484 469,615 50,859,537 2,562,891 1,240,912 2,477,513 2,063,498 4,458,597 492,884 1,086,376 65,242,208 145.548,019 210,790,227 4| Page 16,498,601 6,024,062 1.596,475 1,100,342 10,614,268 3,168,056 2,269,677 6,302,841 437,849 48,012,171 985,924 1.226,673 921,704 1,735,500 5.625,347 431.254 996,876 59,935,449 140.359,291 200,294,740
Expert Answer:
Answer rating: 100% (QA)
Question Step 1 Forgetting the mentioned ratios we will use items of both the balance sheet and the income statements One can use in dollar or Korean currency both will give you the same result And th... View the full answer
Related Book For
The Economics of the Environment
ISBN: 9780321321664
1st edition
Authors: Peter Berck, Gloria Helfand
Posted Date:
Students also viewed these accounting questions
-
For almost a year, OK Company has been changing its manufacturing processes. Management has asked for employees assistance in the transition and has offered bonuses for suggestions that cut time from...
-
Sleeping bag production for the Sleepwell Company has cost C(Q) = Q3 - 10Q2 + 35Q + 196. The marginal cost curve for their production is MC(Q) = 3Q2 - 20Q + 35. (a) Identify both the shutdown point...
-
Presented here are an incomplete income statement and balance sheet for Vieux Corporation. Additional information: 1. The gross profit margin is 40%. 2. The profit margin is 15%. 3. The receivables...
-
1.) Find the equation of a polynomial in standard form of lowest degree possible that crosses the x-axis at x = 1, bounces off of the x-axis at x = -1, has a y-intercept of 4, goes to co as x goes to...
-
If X1, X2, . . ., Xn1 and Y1, Y2, . . ., Yn2 are independent random samples, we can test the null hypothesis that they come from identical continuous populations on the basis of the Mann-Whitney...
-
Consider a Mach 4 flow over a compression corner with a deflection angle of \(32^{\circ}\). Calculate the oblique shock wave angle for the weak shock case using (a) Fig. 4.8 and (b) the...
-
Under what circumstances should a party be joined in an action?
-
The Repo 105 transactions reduced Lehmans net leverage ratio from 17.8 to 16.1 at the end of fiscal 2007. Do you believe that was a material difference? Why or why not?
-
The balance sheets for Sports Unlimited for 2024 and 2023 are provided below. Required: 1. Prepare a vertical analysis of Sports Unlimited's 2024 and 2023 balance sheets. Express each amount as a...
-
Complete the payroll register for this pay period and update the Employee Earnings Record form for each employee with the corresponding information. The Step-2 of Form W-4 is unchecked. The amount...
-
Based on our class discussion, what did I suggest as the real reason why Amazon beat the competition early on? Group of answer choices Electronic disintermediation Customer Self Service Long Tail...
-
Design a bandstop elliptic filter satisfying the following specifications: \[\begin{aligned}A_{\mathrm{p}} & =0.5 \mathrm{~dB} \\A_{\mathrm{r}} & =60 \mathrm{~dB} \\\Omega_{\mathrm{p}_{1}} & =40...
-
Design a lowpass filter satisfying the following specifications: \[\begin{aligned}M(\Omega T)=1.0, & \text { for } 0.0 \Omega_{\mathrm{s}}
-
Explain the statement, the cumulative logistic distribution function is linear in the logs. Use an equation in your answer.
-
The data represent the number of driving fatalities for a certain area by age for male and female drivers. (a) What is the probability that a randomly selected driver fatality who was male was 16 to...
-
The following data represent the number of live multiple-delivery births (three or more babies) in a particular year for women 15 to 54 years old. (a) Determine the probability that a randomly...
-
PART II: Caterpillar uses LIFO to value its ending inventory and cost of goods sold The following data was collected from Caterpillar's 10-K filed with the SEC. in the table below 2021 2020 2019...
-
One Way Cellular accountants have assembled the following data for the year ended September 30, 2014: Prepare the operating activities section using the indirect method for One Way Cellulars...
-
The benefit of cutting down a forest is $1 million now. The environmental cost of that harvest is $10/year forever. (a) At a 0 percent discount rate, are the benefits of harvesting greater than the...
-
Describe the role of opportunity cost in the following scenarios. In particular, explain how opportunity cost can help assign values to goods in these examples. (a) Instead of working this weekend...
-
What do you think the green measures of national income would look like for a heavily oil-dependent nation like Saudi Arabia or Venezuela? What might these countries do to offset their resource...
-
The following data come from the inventory records of (. Dodge Company: Based on these facts, the gross profit for Dodge Company is a. \(\$ 150,000\). b. \(\$ 220,000\) c. \(\$ 190,000\). d. some...
-
A sample of students is enrolled in a speed-reading class. Each takes a reading test before and again after the class. The two samples of scores are compared to determine how large an improvement in...
-
A sample of students is enrolled in an online statistics class, and another sample is enrolled in a traditional statistics class. At the end of the semester, the students are given a test. The scores...
Study smarter with the SolutionInn App