Page 34 - A Level Business Studies - Financial Analysis Tasks

Task 3.f

Look at the trading section of the Income Statement and the Current Liabilities section of the
Statement of Financial Position to calculate the Payable Days Ratio.

Income Statement - Trading Account (Extract)
£ £ Payable Days Ratio Days
Sales Revenue 763,456

Less Cost of Sales
Opening Inventory (Stock) 24,156

Add Purchases 326,781
350,937

Less Closing Inventory (Stock) 19,776 331,161
Gross Profit 432,295

Statement of Financial Position (Extract) £ £
Less CURRENT LIABILITIES

Trade Payables (Creditors) 14,367
Unpaid Tax 2,000
Dividends 50,000 66,367

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