1) CONSTRUCT A BALANCESHEET AS AT 31st DECEMBER 2022 FOR LIANA

2) CONSTRUCT A CASHFLOW STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2022 FOR LIANA

3) COMPUTE THE

i) LIQUID ASSESTS ii)

iIi) DEBT SERVICE COVERAGE RATIO

ii) COMMENT BRIEFLY ON RATIOS CALCULATED

4) ANALYSE THE CURRENT FINANCIAL SITUATION OF LIANA. DETERMINE WHETHER LIANA CAN SAVE ATLEAST 10% OF HER SALARY FOR UPCOMING YEAR 2023

WITH HER CURRENT SPENDING PATTERN AND IF NOT, ACTIONS THAT LIANA SHOULD TAKE TO MAKE ENDS MEET.

In Malaysla, we have Llans, and she is no stranger to the above situation. Lana, 35, a divorcee wth two (2) young chlldren of 6 years and 4 years old, works in an oil and gas company in the research and development department. Her salary (after tax and EPF) is RM6,800. The dlvorce that took place last 2 years left Llana devastated as she has to take care of her children herself. The high living costs in a metropolitan city such as Kuala Lumpur has made Liana feeling both mentally and financially challenged. Liana, in reallzing that she has to change her style of spending, has gathered some information on the expenses that she had incurred in 2022. She felt that in 2023, she must start to at least save some 10% to 20% of her total salary in order to stay financially sufficient and to have some emergency fund during the rainy days. Meanwhlle, Liana's assets included the followings: Liana's further spending and liabilities included the followings: She drives an X50 Proton which she bought in November 2020 for RM98,000. She paid a 10% down payment using almost all of her savings and now pays a 2.5% interest for a 9-year loan. Currently, she has 83 months of car loan outstanding as at 31 December 2022. The market value of her car would be RM85,555 as at 31 December 2022 . Liana still owe the PTPTN a staggering amount of RM18.950 as at 31 December 2022. She has only been paying the minimum amount of RM100 per month since she graduated 12 years ago. The divorce that took place two years ago, actually made Liana to develop a form of anxiety and she often resorted to coffee drinking at Starbucks almost every day. She estimated the amount spent on coffee drinking was RM15 each day for 360 days a year in 2022. Further, Llana's credit card balance now stood at a whopping RM4,400 as at 31 December 2022