Lanka Hospitals is a private healthcare facility located in Sri Lanka with a vision to be the foremost preferred private healthcare facility in the country. It provides a wide range of medical services across multiple departments. The document analyzes Lanka Hospital's financial statements according to several Sri Lanka Accounting Standards, including LKAS 1 on financial statement presentation, LKAS 2 on inventories, LKAS 7 on statements of cash flows, and LKAS 10 on events after the reporting period. Key disclosure requirements and how Lanka Hospitals complies with these standards are described.
CA NOTES ON RISK, RETURN AND PORTFOLIO PRACTICALS OF STRATEGIC FINANCIAL MODE...Kanoon Ke Rakhwale India
CA NOTES ON RISK, RETURN AND PORTFOLIO PRACTICALS OF STRATEGIC FINANCIAL MODELING
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KANOON KE RAKHWALE INDIA
HIRE LAWYER ONLINE
LAW FIRMS IN DELHI
CA FIRM DELHI
VISIT : https://www.kanoonkerakhwale.com/
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The document discusses key financial statements that provide information about a company's financial performance and position. It describes the income statement as showing revenues, expenses and profits over a period of time. The balance sheet provides a snapshot of assets, liabilities and shareholders' equity as of a point in time. The cash flow statement reports cash inflows and outflows during a period. Understanding these statements allows analysis of a company's current and future financial condition.
This document discusses various financial ratios that can be used to analyze the financial performance and health of a company. It provides definitions and formulas for key liquidity ratios like current ratio and quick ratio, leverage ratios like debt-equity ratio, activity ratios like inventory turnover ratio and average collection period, and profitability ratios like gross profit margin ratio. Specific calculations are shown for a company to illustrate how to compute various ratios from the company's financial statements. The document emphasizes the importance of ratio analysis for evaluating a company's performance over time and in comparison to other companies.
Acquisition and disposition of property, plant, and equUmar Gul
The document discusses the accounting treatment for the acquisition and disposition of property, plant, and equipment (PP&E). It covers the initial valuation of PP&E including acquisition costs, self-constructed assets, and interest capitalization. It also discusses subsequent valuation including nonmonetary exchanges, contributions, and accounting for costs and disposals after acquisition.
This document discusses various techniques for financial forecasting and projections. It provides an overview of preparing pro forma income statements and balance sheets using percentage of sales and budgeted expense methods. An example pro forma income statement and assumptions are presented. Key points covered are sales forecasting techniques, calculating external funding requirements for growth, and preparing other supporting financial projections like cash budgets and operating budgets.
Chapter 1 - Overview of Financial Statement Analysis
Solution Manual Wild
Financial Statement Analysis -
f i n a n c i a l
s tat e m e n t
a n a l y s i s
TENTH EDITION
K. R.
SUBRAMANYAM
JOHN J. WILD
The document provides information about financial reporting and annual reports for companies. It discusses key components of annual reports including the director's report, financial statements, audit report, income statement, balance sheet, cash flow statement, and statement of owner's equity. It also covers notes to the financial statements, stakeholders' interests in financial statements, qualities and limitations of financial statements, responsibilities for financial statements, misleading financial statements, and consequences of unreliable financial statements.
The document discusses the differences between cash flow statements and income statements. Cash flow statements record when cash is received and spent, while income statements record when revenue is earned and expenses are incurred. There can be differences between a company's cash balance and net profit because some transactions only impact one statement. For example, a company can report an increase in net profit but a decrease in cash if it made credit sales or incurred expenses that were not paid in cash.
CA NOTES ON RISK, RETURN AND PORTFOLIO PRACTICALS OF STRATEGIC FINANCIAL MODE...Kanoon Ke Rakhwale India
CA NOTES ON RISK, RETURN AND PORTFOLIO PRACTICALS OF STRATEGIC FINANCIAL MODELING
FREE AFFIDAVITS AND NOTICES FORMATS
FREE AGREEMENTS AND CONTRACTS FORMATS
FREE LLB LAW NOTES
FREE CA ICWA NOTES
FREE LLB LAW FIRST SEM NOTES
FREE LLB LAW SECOND SEM NOTES
FREE LLB LAW THIRD SEM NOTES
FREE LLB LAW FOURTH SEM NOTES
FREE LLB LAW FIFTH SEM NOTES
FREE LLB LAW SIXTH SEM NOTES
FREE CA ICWA FOUNDATION NOTES
FREE CA ICWA INTERMEDIATE NOTES
FREE CA ICWA FINAL NOTES
KANOON KE RAKHWALE INDIA
HIRE LAWYER ONLINE
LAW FIRMS IN DELHI
CA FIRM DELHI
VISIT : https://www.kanoonkerakhwale.com/
VISIT : https://hirelawyeronline.com/
The document discusses key financial statements that provide information about a company's financial performance and position. It describes the income statement as showing revenues, expenses and profits over a period of time. The balance sheet provides a snapshot of assets, liabilities and shareholders' equity as of a point in time. The cash flow statement reports cash inflows and outflows during a period. Understanding these statements allows analysis of a company's current and future financial condition.
This document discusses various financial ratios that can be used to analyze the financial performance and health of a company. It provides definitions and formulas for key liquidity ratios like current ratio and quick ratio, leverage ratios like debt-equity ratio, activity ratios like inventory turnover ratio and average collection period, and profitability ratios like gross profit margin ratio. Specific calculations are shown for a company to illustrate how to compute various ratios from the company's financial statements. The document emphasizes the importance of ratio analysis for evaluating a company's performance over time and in comparison to other companies.
Acquisition and disposition of property, plant, and equUmar Gul
The document discusses the accounting treatment for the acquisition and disposition of property, plant, and equipment (PP&E). It covers the initial valuation of PP&E including acquisition costs, self-constructed assets, and interest capitalization. It also discusses subsequent valuation including nonmonetary exchanges, contributions, and accounting for costs and disposals after acquisition.
This document discusses various techniques for financial forecasting and projections. It provides an overview of preparing pro forma income statements and balance sheets using percentage of sales and budgeted expense methods. An example pro forma income statement and assumptions are presented. Key points covered are sales forecasting techniques, calculating external funding requirements for growth, and preparing other supporting financial projections like cash budgets and operating budgets.
Chapter 1 - Overview of Financial Statement Analysis
Solution Manual Wild
Financial Statement Analysis -
f i n a n c i a l
s tat e m e n t
a n a l y s i s
TENTH EDITION
K. R.
SUBRAMANYAM
JOHN J. WILD
The document provides information about financial reporting and annual reports for companies. It discusses key components of annual reports including the director's report, financial statements, audit report, income statement, balance sheet, cash flow statement, and statement of owner's equity. It also covers notes to the financial statements, stakeholders' interests in financial statements, qualities and limitations of financial statements, responsibilities for financial statements, misleading financial statements, and consequences of unreliable financial statements.
The document discusses the differences between cash flow statements and income statements. Cash flow statements record when cash is received and spent, while income statements record when revenue is earned and expenses are incurred. There can be differences between a company's cash balance and net profit because some transactions only impact one statement. For example, a company can report an increase in net profit but a decrease in cash if it made credit sales or incurred expenses that were not paid in cash.
The document provides solved problems related to calculating cost of capital. It includes examples of calculating cost of debt, cost of preference shares, and weighted average cost of capital (WACC) for companies based on information about their capital structure, dividend rates, issue prices of securities, tax rates, and other financial details. The problems cover a range of scenarios and teach the methodology for determining the effective cost of different sources of capital and the overall WACC.
This document provides an overview of financial forecasting and planning methods. It discusses what financial forecasting is, its importance, and key aspects involved like economic assumptions, sales forecasts, and financing plans. Two categories of forecasting methods are described: qualitative methods like executive opinion and sales force polling, and quantitative methods such as regression analysis, time series analysis, and proforma financial analysis. Specific techniques involved in these different methods are explained, such as using cost ratios in the percentage of sales and budgeted expense approaches to creating proforma income statements.
The document discusses the analysis of financial statements. It covers key topics such as the nature and essential qualities of financial statements, tools for analysis including comparative statements, common size statements, trend analysis and ratio analysis. It also discusses the interpretation of analysis and interested parties in analyzing financial statements such as management, investors, banks and others. Common financial ratios are outlined including liquidity, activity, profitability, leverage and coverage ratios.
IAS-1: Presentation of Financial StatementsAmit Sarkar
IAS 1 Presentation of Financial Statements sets out the overall requirements for financial statements, including how they should be structured, the minimum requirements for their content and overriding concepts such as going concern, the accrual basis of accounting and the current/non-current distinction. The standard requires a complete set of financial statements to comprise a statement of financial position, a statement of profit or loss and other comprehensive income, a statement of changes in equity and a statement of cash flows.
The document provides an overview of financial statement analysis. It discusses that financial analysis identifies the financial strengths and weaknesses of a firm by establishing relationships between balance sheet and profit/loss statement items. The key objectives of financial analysis are to evaluate a firm's profitability, debt servicing ability, business risk, and growth. Various techniques of financial analysis are also outlined, including comparative statements analysis, common-size analysis, trend analysis, and ratio analysis. The document aims to explain the concepts and applications of financial statement analysis.
risk and return. Defining Return, Return Example, Defining Risk,Determining Expected Return , How to Determine the Expected Return and Standard Deviation, Determining Standard Deviation (Risk Measure), Portfolio Risk and Expected Return Example, Determining Portfolio Expected Return, Determining Portfolio Standard Deviation, Summary of the Portfolio Return and Risk Calculation, Total Risk = Systematic Risk + Unsystematic Risk,
This chapter discusses capital budgeting techniques used to evaluate long-term investment projects. It covers the payback period method, which calculates the number of years to recover the initial investment of a project from its cash inflows. The chapter provides examples of calculating payback periods for projects and discusses the pros and cons of the payback method, noting it does not take the time value of money into account but is intuitive. It also introduces net present value and internal rate of return techniques.
This document provides an overview of IFRS 6, which specifies the financial reporting for exploration and evaluation of mineral resources. It discusses key aspects such as the objective, scope, recognition and measurement of exploration and evaluation assets, impairment testing, and disclosure requirements. Specifically, the standard aims to improve consistency and requires entities to assess exploration and evaluation assets for impairment using IAS 36 and disclose information to help users understand amounts and future cash flows from these assets.
This document discusses various types of financial statement analysis including trend analysis, comparative statements, common size statements, and ratio analysis. It provides templates for comparative balance sheets and income statements showing calculations of amount and percentage changes between periods. It also includes templates for common size statements showing items as a percentage of total capital employed or net sales. Financial statement analysis is used to measure profitability, growth, financial strength, and solvency by analyzing relationships and trends over time from financial statements.
This document outlines the key requirements of IAS 1 regarding the presentation of financial statements. It discusses the objective, scope and definitions of IAS 1. It describes the purpose and components of financial statements, including the statement of financial position, statement of comprehensive income, statement of changes in equity and statement of cash flows. It provides guidance on the general presentation requirements including fair presentation, going concern, accrual basis of accounting, consistency of presentation, materiality and offsetting. It also discusses the structure and required contents of the main financial statements.
This chapter introduces key concepts in corporate finance. It discusses the role of the financial manager in making decisions regarding capital budgeting, capital structure, and working capital management. It also outlines the different forms of business organization including sole proprietorships, partnerships, and corporations. The chapter notes that the goal of financial management is to maximize the value of the company for shareholders but that conflicts can arise between shareholders and managers. It defines agency problems and how they are managed through compensation structures and corporate control.
This document discusses optimal capital structure and includes the following key points:
1. An optimal capital structure maximizes a company's market value while minimizing the cost of capital by striking a balance between risk and return. It occurs when the market price per share is at its maximum and cost of capital is at its minimum.
2. Several illustrations are provided to demonstrate how changes in the debt-equity mix impact total market value and overall cost of capital. Adding more debt initially increases value but can eventually increase costs if debt levels rise too high.
3. The document also defines capital structure, lists some features of an optimal structure, and outlines several theories of capital structure, including the Net Income Approach and Modigl
This document defines and discusses various types of ratio analysis used in accounting. It begins by defining a ratio as a mathematical relationship between two quantitative figures. It then outlines the main steps in ratio analysis and some key advantages and limitations. The rest of the document categorizes ratios in several ways: by financial statements, by intended users, by relative importance, and by purpose/function. It provides examples of specific ratios that fall under each of these categories, such as liquidity ratios, profitability ratios, and turnover ratios. The document aims to provide an overview of the different approaches to ratio analysis in accounting.
investment decisions, risk and uncertainity, types of risk, techniques of measuring risk, cost of capital, importance, factors affecting cost of capital, computation of cost of capital, capital structure, capital structure theories, dividend theories, walter model, gordon model, mm model, working capital management, types of working capital, factors influencing working capital, preparation of cash budget, problems on working capital, corporate valuation,methods
This document discusses capital structure and leverage. It defines key terms like capital structure, financial leverage, operating leverage, degree of financial leverage (DFL), degree of operating leverage (DOL), and degree of total leverage (DTL). It explains how financial and operating leverage can both increase profits but also increase risk and variability in results. The optimal capital structure balances these risks and rewards to maximize stock price.
This document is an executive report analyzing the financial ratios of Durdans Hospital and Asiri Hospital for the years 2013 and 2014. It begins with an introduction and acknowledgements. It then provides the objectives of the study, which are to analyze liquidity, leverage, activity, and profitability ratios to evaluate financial performance and the impact of assets and liabilities. The methodology describes the study period and data collection sources. The document then presents various financial ratios that will be calculated and analyzed, including liquidity, leverage, profitability, and activity ratios. Finally, it provides a data table with financial figures for both hospitals in 2013 and 2014 that will be used to calculate the ratios.
This document discusses various concepts related to investment returns and risk. It begins by defining return as income received plus capital gains. It then discusses the components of return including yield and capital gains. It provides a formula to calculate total return. The document then discusses various types of risk including market risk, liquidity risk, and foreign exchange risk. It also covers sensitivity analysis using range and standard deviation. Finally, it discusses portfolio returns and risks, and introduces the Capital Asset Pricing Model to relate expected returns to market risk.
A comprehensive evaluation of an investor's current and future financial state by using currently known variables to predict future cash flows, asset values and withdrawal plans.
Most individuals work in conjunction with an investment or tax professional and use current net worth, tax liabilities, asset allocation, and future retirement and estate plans in developing the plan. These will be used along with estimates of asset growth to determine if a person's financial goals can be met in the future, or what steps need to be taken to ensure that they are.
Horizontal analysis is also known as Trend Analysis refers to studying the behavior of individual financial statement items over several accounting periods. The Vertical Analysis concentrates on the relationships between various financial items on a financial statement. Copy the link given below and paste it in new browser window to get more information on Horizontal and Vertical Analysis:- http://www.transtutors.com/homework-help/accounting/horizontal-and-vertical-analysis.aspx
This document outlines key concepts related to financial statements and accounting principles. It discusses the purpose of financial statements being to help predict future cash flows. It identifies the typical components of a complete set of financial statements as the balance sheet, income statement, statement of changes in equity, cash flow statement, and notes. The document also summarizes accounting assumptions around the economic entity, monetary unit, going concern, and time periods, as well as principles such as historical cost, revenue recognition, matching, and full disclosure.
The document discusses key aspects of IND AS 20 regarding accounting for government grants and disclosure of government assistance. It states that government grants shall not be recognized until there is reasonable assurance of compliance with attached conditions and receipt of the grant. Grants related to assets are recognized as deferred income and amortized to profit or loss over the useful life of the asset. Grants related to income are recognized in profit or loss in the periods in which the related expenses are incurred.
The document provides solved problems related to calculating cost of capital. It includes examples of calculating cost of debt, cost of preference shares, and weighted average cost of capital (WACC) for companies based on information about their capital structure, dividend rates, issue prices of securities, tax rates, and other financial details. The problems cover a range of scenarios and teach the methodology for determining the effective cost of different sources of capital and the overall WACC.
This document provides an overview of financial forecasting and planning methods. It discusses what financial forecasting is, its importance, and key aspects involved like economic assumptions, sales forecasts, and financing plans. Two categories of forecasting methods are described: qualitative methods like executive opinion and sales force polling, and quantitative methods such as regression analysis, time series analysis, and proforma financial analysis. Specific techniques involved in these different methods are explained, such as using cost ratios in the percentage of sales and budgeted expense approaches to creating proforma income statements.
The document discusses the analysis of financial statements. It covers key topics such as the nature and essential qualities of financial statements, tools for analysis including comparative statements, common size statements, trend analysis and ratio analysis. It also discusses the interpretation of analysis and interested parties in analyzing financial statements such as management, investors, banks and others. Common financial ratios are outlined including liquidity, activity, profitability, leverage and coverage ratios.
IAS-1: Presentation of Financial StatementsAmit Sarkar
IAS 1 Presentation of Financial Statements sets out the overall requirements for financial statements, including how they should be structured, the minimum requirements for their content and overriding concepts such as going concern, the accrual basis of accounting and the current/non-current distinction. The standard requires a complete set of financial statements to comprise a statement of financial position, a statement of profit or loss and other comprehensive income, a statement of changes in equity and a statement of cash flows.
The document provides an overview of financial statement analysis. It discusses that financial analysis identifies the financial strengths and weaknesses of a firm by establishing relationships between balance sheet and profit/loss statement items. The key objectives of financial analysis are to evaluate a firm's profitability, debt servicing ability, business risk, and growth. Various techniques of financial analysis are also outlined, including comparative statements analysis, common-size analysis, trend analysis, and ratio analysis. The document aims to explain the concepts and applications of financial statement analysis.
risk and return. Defining Return, Return Example, Defining Risk,Determining Expected Return , How to Determine the Expected Return and Standard Deviation, Determining Standard Deviation (Risk Measure), Portfolio Risk and Expected Return Example, Determining Portfolio Expected Return, Determining Portfolio Standard Deviation, Summary of the Portfolio Return and Risk Calculation, Total Risk = Systematic Risk + Unsystematic Risk,
This chapter discusses capital budgeting techniques used to evaluate long-term investment projects. It covers the payback period method, which calculates the number of years to recover the initial investment of a project from its cash inflows. The chapter provides examples of calculating payback periods for projects and discusses the pros and cons of the payback method, noting it does not take the time value of money into account but is intuitive. It also introduces net present value and internal rate of return techniques.
This document provides an overview of IFRS 6, which specifies the financial reporting for exploration and evaluation of mineral resources. It discusses key aspects such as the objective, scope, recognition and measurement of exploration and evaluation assets, impairment testing, and disclosure requirements. Specifically, the standard aims to improve consistency and requires entities to assess exploration and evaluation assets for impairment using IAS 36 and disclose information to help users understand amounts and future cash flows from these assets.
This document discusses various types of financial statement analysis including trend analysis, comparative statements, common size statements, and ratio analysis. It provides templates for comparative balance sheets and income statements showing calculations of amount and percentage changes between periods. It also includes templates for common size statements showing items as a percentage of total capital employed or net sales. Financial statement analysis is used to measure profitability, growth, financial strength, and solvency by analyzing relationships and trends over time from financial statements.
This document outlines the key requirements of IAS 1 regarding the presentation of financial statements. It discusses the objective, scope and definitions of IAS 1. It describes the purpose and components of financial statements, including the statement of financial position, statement of comprehensive income, statement of changes in equity and statement of cash flows. It provides guidance on the general presentation requirements including fair presentation, going concern, accrual basis of accounting, consistency of presentation, materiality and offsetting. It also discusses the structure and required contents of the main financial statements.
This chapter introduces key concepts in corporate finance. It discusses the role of the financial manager in making decisions regarding capital budgeting, capital structure, and working capital management. It also outlines the different forms of business organization including sole proprietorships, partnerships, and corporations. The chapter notes that the goal of financial management is to maximize the value of the company for shareholders but that conflicts can arise between shareholders and managers. It defines agency problems and how they are managed through compensation structures and corporate control.
This document discusses optimal capital structure and includes the following key points:
1. An optimal capital structure maximizes a company's market value while minimizing the cost of capital by striking a balance between risk and return. It occurs when the market price per share is at its maximum and cost of capital is at its minimum.
2. Several illustrations are provided to demonstrate how changes in the debt-equity mix impact total market value and overall cost of capital. Adding more debt initially increases value but can eventually increase costs if debt levels rise too high.
3. The document also defines capital structure, lists some features of an optimal structure, and outlines several theories of capital structure, including the Net Income Approach and Modigl
This document defines and discusses various types of ratio analysis used in accounting. It begins by defining a ratio as a mathematical relationship between two quantitative figures. It then outlines the main steps in ratio analysis and some key advantages and limitations. The rest of the document categorizes ratios in several ways: by financial statements, by intended users, by relative importance, and by purpose/function. It provides examples of specific ratios that fall under each of these categories, such as liquidity ratios, profitability ratios, and turnover ratios. The document aims to provide an overview of the different approaches to ratio analysis in accounting.
investment decisions, risk and uncertainity, types of risk, techniques of measuring risk, cost of capital, importance, factors affecting cost of capital, computation of cost of capital, capital structure, capital structure theories, dividend theories, walter model, gordon model, mm model, working capital management, types of working capital, factors influencing working capital, preparation of cash budget, problems on working capital, corporate valuation,methods
This document discusses capital structure and leverage. It defines key terms like capital structure, financial leverage, operating leverage, degree of financial leverage (DFL), degree of operating leverage (DOL), and degree of total leverage (DTL). It explains how financial and operating leverage can both increase profits but also increase risk and variability in results. The optimal capital structure balances these risks and rewards to maximize stock price.
This document is an executive report analyzing the financial ratios of Durdans Hospital and Asiri Hospital for the years 2013 and 2014. It begins with an introduction and acknowledgements. It then provides the objectives of the study, which are to analyze liquidity, leverage, activity, and profitability ratios to evaluate financial performance and the impact of assets and liabilities. The methodology describes the study period and data collection sources. The document then presents various financial ratios that will be calculated and analyzed, including liquidity, leverage, profitability, and activity ratios. Finally, it provides a data table with financial figures for both hospitals in 2013 and 2014 that will be used to calculate the ratios.
This document discusses various concepts related to investment returns and risk. It begins by defining return as income received plus capital gains. It then discusses the components of return including yield and capital gains. It provides a formula to calculate total return. The document then discusses various types of risk including market risk, liquidity risk, and foreign exchange risk. It also covers sensitivity analysis using range and standard deviation. Finally, it discusses portfolio returns and risks, and introduces the Capital Asset Pricing Model to relate expected returns to market risk.
A comprehensive evaluation of an investor's current and future financial state by using currently known variables to predict future cash flows, asset values and withdrawal plans.
Most individuals work in conjunction with an investment or tax professional and use current net worth, tax liabilities, asset allocation, and future retirement and estate plans in developing the plan. These will be used along with estimates of asset growth to determine if a person's financial goals can be met in the future, or what steps need to be taken to ensure that they are.
Horizontal analysis is also known as Trend Analysis refers to studying the behavior of individual financial statement items over several accounting periods. The Vertical Analysis concentrates on the relationships between various financial items on a financial statement. Copy the link given below and paste it in new browser window to get more information on Horizontal and Vertical Analysis:- http://www.transtutors.com/homework-help/accounting/horizontal-and-vertical-analysis.aspx
This document outlines key concepts related to financial statements and accounting principles. It discusses the purpose of financial statements being to help predict future cash flows. It identifies the typical components of a complete set of financial statements as the balance sheet, income statement, statement of changes in equity, cash flow statement, and notes. The document also summarizes accounting assumptions around the economic entity, monetary unit, going concern, and time periods, as well as principles such as historical cost, revenue recognition, matching, and full disclosure.
The document discusses key aspects of IND AS 20 regarding accounting for government grants and disclosure of government assistance. It states that government grants shall not be recognized until there is reasonable assurance of compliance with attached conditions and receipt of the grant. Grants related to assets are recognized as deferred income and amortized to profit or loss over the useful life of the asset. Grants related to income are recognized in profit or loss in the periods in which the related expenses are incurred.
Introduction To Financial Statements And Auditimranbg1
The document provides an introduction to financial statements and the audit process. It defines financial statements as a structured representation of a company's financial position and performance that provides useful information to decision makers. The key components of financial statements are identified as the balance sheet, income statement, statement of cash flows, and notes. Regulatory requirements for preparing and auditing financial statements in Pakistan are outlined for different types of companies. The objectives and need for auditing financial statements are discussed. Important areas of the balance sheet like property, investments, loans, stock, and liabilities are also briefly covered.
The objective of IFRS 3 is to enhance the relevance, reliability and comparability of information provided about business combinations. It establishes principles for recognizing and measuring identifiable assets acquired, liabilities assumed and any non-controlling interest at their acquisition-date fair values. Goodwill acquired in a business combination or a gain from a bargain purchase is also recognized and measured. Information must be disclosed to enable users to evaluate the nature and financial effects of the business combination.
The presentation discusses the meaning and objectives of corporate financial reporting. Financial reporting involves communicating a company's financial status to stakeholders through statements that disclose information about resources, obligations, income, cash flows, and equity. The objectives are to provide useful information to help present and potential investors, creditors, and others make rational decisions by assessing amounts, timing, and uncertainty of prospective cash flows and assessing a company's net cash inflows. Financial reports include the balance sheet, income statement, statement of cash flows, and statement of changes in equity.
Conversion Ind AS (the converged IFRS standards) in India Dr Biswadev Dash
02/01/2015 when the Press Information Bureau, Government of India, Ministry of Corporate Affairs (MCA) issued a note outlining the various phases in which Indian Accounting Standards converged with IFRS (Ind AS) is proposed to be implemented in India it was a landmark reforms in accounting & reporting sector. With this the Companies other than Banking Companies, Insurance Companies and NBFCs will be covered. Indian Accounting standard is highly precise. Thus Conversion Ind AS (the converged IFRS standards) in India may significantly affect a company’s day-to-day operations and may even impact the reported profitability of the business itself. Of course Conversion brings a one-time opportunity to comprehensively streamline the financial reporting.
Introduction To Financial Statements And AuditMobasher Ali
The document provides an introduction to financial statements and auditing. It discusses the purpose of financial statements which is to provide useful information to users for decision making. A complete set of financial statements includes a balance sheet, income statement, statement of changes in equity, cash flow statement, and notes. The document also outlines the regulatory requirements for auditing financial statements in Pakistan for various types of entities. The objective of an audit is to express an opinion on whether the financial statements present fairly in accordance with accounting standards.
Financial Reporting
Anas Alzadjali
ST10299
Roslin Lazarus
Introduction
Analysis of different regulatory framework and governance applicable GIC’s investment strategies and current market operations.
Based on the published annual report of GIC for the year 2019.
ASSUMPTION
GIC consider establishing a joint stock company as a part of its expansion plan
This presentation analysis different regulatory framework and governance applicable to GIC’s investment strategies and current market operations based on the published annual report of GIC for the year 2019, with the assumption that GIC is seriously considering establishing a joint stock company with majority controlling interest in Singapore and India as a part of its expansion plan.
2
Continuation
Financial reporting is the declaration of the financial details to the divergent stakeholders concerning the financial operation and the financial position of the firm for a specified period of time.
Financial reporting standards are the keys that defines the practice standards and financial accounting policies and performs as its basis.
Enhances the financial reporting openness in an international position.
Performs as the accounting end product.
Definition
Financial reporting : declaration of the financial details to the divergent stakeholders concerning the financial operation and the financial position of the firm for a specified period of time.
Financial reporting standards: keys that defines the practice standards and financial accounting policies and performs as its basis.
Enhances the financial reporting openness in an international position.
Performs as the accounting end product.
Components of the financial reporting include;
The Financial statement
Notes to the Financial statement
The prospectus
The Management discussion and analysis
3
Elements Of Financial Statement
The financial statement elements are;
Income Statement : Expenses, Revenues, Purchases and Sales
Balance Sheet: Assets , Liabilities and Capital
Cashflow statement: cashflow from operating activities, investment and financing.
Change in equity.
And notes
Financial statement comprise the critical report of the business that gives financial information which can be used by the stakeholders.
The financial statement elements are;
Income Statement covering expenses, revenues, purchases and sales
Balance Sheet covering assets , liabilities and capital
Cashflow statement covering cashflow from operating activities, investment and financing.
Change in equity showing any change in equity over the period
And notes that gives explanations to the statements.
4
Financial Reporting Objective
Financial statements have been prepared in accordance with: International Financial Reporting Standards (IFRSs),
Applicable disclosure requirements of the Capital Market Authority (CMA)
Relevant requirements of the Commercial Companies Law.
Their objectives are:
To provide information concerning the financial posi ...
This document provides an overview of the Financial Accounting and Analysis course for the first semester of a BBA program. It covers key topics like the meaning and scope of accounting, objectives of accounting, accounting principles and conventions, branches of accounting, limitations of accounting, and accounting standards in India and internationally (IFRS). The course is taught by Ms. Shivani Arora and covers 19 slides on these fundamental accounting concepts.
The document discusses financial statements for internal and external purposes. It explains that internal financial statements are prepared for management and employees who are familiar with the business. They show expenses by natural category and provide limited additional notes. External financial statements are prepared under regulations like the Companies Act and have more disclosure requirements to be useful to outsiders like shareholders and creditors. The document then outlines the requirements for accounting records, components of financial statements, recognition and measurement principles, and disclosure standards in external financial statements under IFRS.
IBNE SHABEER FOOD (PVT) LTD operates in the food industry in Pakistan with five branches and 3000 employees. It produces items like milk, biscuits and yogurt. The company follows IFRS and IAS standards in preparing its financial statements on an accrual basis assuming a going concern. It has increased profits from Rs. 15,000 in 2014 to Rs. 18,000 in 2015. The financial statements present a true and fair view of the company's financial position, performance and cash flows in accordance with IFRS standards.
Financial statements of a Company are the introductory and formal periodic reports through which the commercial operation communicates fiscal information to its possessors and colourful other external parties which include investors, duty authorities, government, workers, etc. These typically relate to (a) the balance distance ( position statement) at the end of the counting period, and (b) the statement of profit and loss of a. company. Nowadays, the cash inflow statement is also taken as an integral element of the financial statements of a company.
This document summarizes the key requirements of IAS 1 regarding the presentation of financial statements. It outlines the objectives of IAS 1 as ensuring comparability of financial statements over time and between entities. The key components required in a complete set of financial statements are identified as the statement of financial position, statement of comprehensive income, statement of changes in equity, statement of cash flows, and notes. Minimum line items to be presented on each statement are also defined. The document provides guidance on the classification of assets and liabilities as current vs non-current, format and presentation of the statements, and disclosures required in the notes.
The International Financial Reporting Standards (IFRS) are a set of accounting standards developed by the International Accounting Standards Board (IASB) to provide a common global language for business affairs. The key elements of financial statements under IFRS include statements of financial position, comprehensive income, changes in equity, cash flows, and accompanying notes. IFRS aims to make company accounts more understandable and comparable internationally to benefit investors and businesses operating globally.
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Analyze Lanka Hospitals Financial statements according to LKAS.
1. 1st
Year
2nd
Semester
1st
Assignment
ACF 102
Financial Accounting ii
Analyze of the financial statements of Lanka Hospitals according to the Sri
Lanka Accounting Standards (LKASs)
Lecturer Name : Ms Sujeewa Kodithuwakku
Student’s Name : D.M.Manawadu
Registration No : A/12/BBA/118
2. About Lanka Hospitals
Vision Statement
"To be the foremost and preferred Private Healthcare Facility in the Country, which will serve
the Nation and her People to build a healthier community."
Mission Statement
"To maintain exceptional and compassionate quality while offering cost effective healthcare
solutions of international standards."
Promise
"We believe that every person has the right to be treated with utmost respect and consideration
Therefore at Lanka Hospitals we care about our patients We care about their families who are
anxious and concerned We care about our colleagues and how we as a team provide the best care
to our patients Because we care, we will be sincere, compassionate and sensitive to make a
difference in the lives we touch! "
Lanka Hospital’s History
Lanka Hospitals Corporation Ltd commenced operations in Sri Lanka on 7th June 2002, under
the brand name of Apollo Hospitals, a part of the chain of Apollo Hospitals founded by the
renown Dr. Pratap C. Reddy in India. As the only purpose built private hospital of its kind in Sri
Lanka, Apollo Colombo revolutionized Sri Lanka’s healthcare service offer, and today under the
brand Lanka Hospitals, it continue dominate and lead the healthcare sector. It is still considered
to be the best health care facility in the country.
In 2012, it celebrated a decade of excellence in healthcare. Over the past decade, Lanka
Hospitals has revolutionized the healthcare industry in Sri Lanka through infrastructure
development and advancement of its’ product and services, through sizeable investments, with a
view to deliver healthcare that is on par with global developments in medical technology. Lanka
Hospitals also play a critical role in the nation’s strategy to provide to provide world-class
medical care whilst balancing the equation of affordability and accessibility for all Sri Lankans.
3. Lanka Hospitals Medical Services
Lanka Hospital as a private hospital, consumers can get following medical services.
Emergency Services
Heart Center
Surgical Department
Fertility Center
Kidney Care Center
Health Check
Laboratory Services
Radiology Services
Eye Clinic
Mother and Baby
Care
ENT Center
Dental clinic
Cosmetic Clinic
Blood Bank
Nuclear Medical
Center
Dermatology
Allergy Clinic
Physiotherapy
Vaccinations
4. LKAS 1 – Presentation of financial statements.
This Standard consider about the basis for presentation of general purpose financial statements to
ensure comparability both with the financial statements of previous periods and with financial
statements of various entities. It sets out overall requirements for the presentation of financial
statements, guidelines for their structure and minimum requirements for their content.
There are some discloses that should be done to be accordance with this standard.
An entity cannot rectify inappropriate accounting policies either by discloser of the
accounting policies used or by notes or explanatory material.
Going concern.
- Going concern means the ability to continue in business for the foreseeable future.
When preparing financial statements, management should make a self assessment of
an entity’s ability to continue as a going concern. If the financial statement does not
prepare according with going concern basis, it shall disclose that fact with the reason.
Lanka Hospitals has disclosed about the going concern and they have prepared their
statements as follows.
5. - Abstracted from Lanka Hospitals annual report.
Comparative Information – Every Financial Statements should carry comparative figures
of the previous accounting periods and except LKAS permits or recommended. Lanka
Hospitals financial statements also have disclosed this information as follows.
7. Reporting period – Generally financial statements are prepared for a finance year but
sometimes it may necessary to prepare statement less than or more than a year. At that
time following information should be disclosed.
(1) Reason for selecting a period shorter or longer than a year.
(2) The fact that comparative figures presented are not comparable.
Lanka Hospital’s financial reports has prepared for a financial year.
-Abstracted from Lanka Hospitals annual report.
Structure and Content – Each part of the financial statements should be clearly identified
following information.
1. Name of the company.
2. Whether the statements are prepared for company or group.
3. Period covered.
4. Name of currency.
5. Levels of correctness (when figures are shown in thousands).
8. - Abstracted from Lanka Hospitals annual report.
The Entity should be disclosed following items in the Statement of Financial Position
according LKAS 01,
1. Property, plant and equipment.
2. Investment property.
3. Intangible assets.
4. Monetary assets.
5. Biological assets.
6. Inventory.
7. Trade and other receivables.
8. Cash and cash equivalents.
9. Trade and other payable.
10. Provisions.
11. Monetary Liabilities.
12. Income tax.
13. Stated capital and Reserves.
9. -Abstracted from Lanka Hospitals annual report.
An entity should disclose at least followings in the Comprehensive Income Statement.
1. Revenue
2. Financial Cost
3. Taxes
4. Profit or loss
-Abstracted from Lanka Hospitals annual report
A business should include a statement of changes in equity in financial statements as a
separate section. In this standard, following items should be disclosed on the face of the
equity statement.
- Profit of loss for the period
- Income or expenditure included directly within the equity, in compliance with
another standard with separate details or each item and the minority
shareholders.
- The total of the above as distributable between the equity shareholders and the
minority shareholders.
10. - Abstracted from Lanka Hospitals annual report.
An entity should disclose followings on the Statement of Financial Position or in Notes.
1. On the each type of shares,
-Issued and paid up shares.
-Issued but not fully paid shares.
-Comparison of shares at the beginning and the end of the year.
-Right of each class, preferences, limitations and limitations on distribution of
dividends and refund of shares/sated capital.
2. Nature and objectives of each reserve with the equity of the owners.
In the Lanka Hospital’s Financial Statement’s also disclosed above requirement as follows,
11. LKAS 02 - Inventories
The Objective of this Standard is to prescribe the accounting treatment for inventories. This
Standard provides guidance on the determination of cost and its subsequent recognition as an
expense, any write-down to net realizable value. It also provides guidance on the cost formulas
that are used to assign costs of inventories.
According to this Standard followings should be disclosed.
The accounting policies adopted in measuring inventories, including cost formula used.
The total carrying amount of inventories and the carrying amount of classifications
appropriate to the entity.
The carrying amount of inventories carried at fair value less cost to sell.
The amount of inventories recognized as an expense during year.
The amount of any write-down of inventories recognized as an expense in the period.
The carrying amount of inventories pledged as security for liabilities.
Lanka Hospital’s financial statements consist with this standard as follows,
12. LKAS 07 – Statement of cash flow.
The objective of this Standard is to require the provision of information about the historical
changes in cash and cash equivalents of an entity by means of a statement of cash flows during
year from operations, investing and financing activities. Following discloses should be done to
be accordance with this standard.
The Statement of cash flows shall report cash flows during the period classified by
operations, investing and financing activities.
An entity can prepare cash flows from operating activities using either,
The direct method, whereby major classes of gross cash receipts and gross cash
payments are disclosed.
The Indirect method, whereby make necessary adjustments to profit or loss before
tax.
Cash flows from interest and dividends received and paid shall each be disclosed
separately.
Cash flows arising from taxes on income shall be separately disclosed and shall be
classified as cash flows from operating activities unless they can be specifically identified
with financing and investing activities.
An entity shall disclose the components of cash and cash equivalents and shall present a
reconciliation of the amounts in its statement of cash flows with the equivalents items
reported in the statement of financial position.
Investing and financing activities that do not require cash or cash equivalents should
exclude and shall be disclosed in the financial statements in a way that provides all the
relevant information about investing and financing activities.
An entity should be disclose both obtaining and losing control of subsidiaries or other
business during the period each of following,
I. Total consideration paid or received.
II. The portion of the consideration consisting of cash and cash equivalents.
III. The amount of cash and cash equivalents in the subsidiaries or other business over
which control is obtained or lost.
13.
14. LKAS 10 – Events after the reporting period.
The objective of this standard is to prescribe,
When an entity should adjust its financial statements for events after the reporting period,
The disclosures that an entity should give about the date when he financial statements
were authorized for issue and about events after the reporting period.
The standard also requires that an entity should not prepare its financial statements on a going
concern basis if events after reporting period indicate that the going concern assumption is not
appropriate.
The Disclosures that should be done according to this standard,
Date of Authorization for issue.
- An entity shall disclose the date when the financial statements were authorized for
issue.
Who gave the authorization.
If the entity’s owners or others have the power to amend the financial statements after
issue.
This Standard applied in Lanka Hospital’s financial statements as follows,
- Abstracted from Lanka Hospitals annual report.
15. -Abstracted from Lanka Hospitals annual report
LKAS 12 – Income tax.
The Objective of this Standard is to prescribe the accounting treatment for income taxes. The
principal issue in accounting for income taxes is come to account for the current and future tax
consequences of,
The future recovery (settlement) of the carrying amount of assets (liabilities) that are
recognized in an entity’s statement of financial position, and
Transactions and other events of the current period that are recognized in an entity’s
financial statements.
Following discloses should be done in the financial statements to be accordance with this
standard and Lanka Hospital’s financial statements prepared according to LKAS 12 as follows.
16. Deferred tax assets and liabilities and current tax assets and liabilities should be presented
separately from other assets and liabilities in the balance sheet.
Deferred tax assets and liabilities should not be classified within current assets and
liabilities.
Tax expense should be presented in the income statement.
Temporary Different Reversals; The deferred tax expense relating to the origination or
reversal of temporary different and changes in tax relates or to the imposition of new
taxes.
The aggregate current and differed tax relating to items charged or credited to equity.
17. The amount of income tax relating to each component of other comprehensive income.
Applicable tax rate.
A numerical reconciliation between tax expense and the product of accounting profit
multiplied by the applicable tax rate, disclosing also the basis on which the applicable tax
tare is computed,
18. LKAS 16 – Property plant and equipments.
The objective of this standard is o prescribe the accounting treatments for property, plant and
equipments so that users of the financial statements can discern information about the entity’s
investment in its property, plant and equipment and the changes in such investment. The
principal issues in accounting for property, plant and equipment are recognizing the assets,
determining carrying amounts and depreciation and impairment losses which are related to them.
Generally following discloses should be done to be accordance with this standard and we
can identify these requirements in the in Lanka Hospital’s financial reports as follows.
The measurement bases used for determining the gross carrying amount.
The depreciation method.
- Abstracted from Lanka Hospitals annual report.
19. The useful lives or the depreciation rates used,
The carrying amount and the accumulated depreciation at the beginning and end
of the period.
- Abstracted from Lanka Hospitals annual report.
20. If items of property, plant and equipment are stated at revalued amounts,
- The effective date of revaluation.
- Whether an independent valuer was involved.
- The method and significant assumption applied in estimating the items’ fair value.
- The extent to which the items’ fair values were determined directly by reference to
observable prices in an active market or recent market transaction on arm’s length
terms or were estimated using other valuation techniques.
- For each revalued class of property, plant and equipment, the carrying amount that
would have been recognized had the assets been carried under the cost model.
- The revaluation surplus, indicating the change for the period and any restrictions on
the distribution of the balance to shareholders.
22. LKAS 37 - Provisions, Contingent Liabilities and Contingent Assets
The objective of this standard is to guide the accounting method & recommending the disclosure
requirement for Provisions, Contingent Liabilities and Contingent Assets are measured,
recognized and presented appropriately in the financial statements.
Following disclosures should be done regarding provisions, contingent liabilities
contingent assets in the financial statements.
Provisions
For each class of provision, a full reconciliation should be disclosed during the period with the
following information.
The carrying amount at the beginning and end of the period.
Additional provisions and increases too existing provisions made.
Amounts incurred and charged against the provision.
Unused amounts reversed.
The increase in the discounted amount arising from the passage of time and the
effect of any change in the discount rate.
Contingent Liabilities
If the expected outflow is not remote for a contingent liability;
A brief description of the nature of the contingent liability should be provided
This should include an estimate of the financial effect, indication of any
uncertainties and the likelihood of any reimbursement being forthcoming.
Contingent Assets
Where an inflow of economic benefits is probable, an enterprise should disclose a
brief description of the nature of the contingent assets at balance sheet date and
where practicable an estimate of their financial effects measured using the
principles set out for provisions in paragraphs.
23. LKAS 38 - Intangible Assets
Objectives
To prescribe the accounting treatments for intangible assets those are not dealt
with another LKAS.
To recognize an intangible asset if and only if specialized criteria are met.
To measure the carrying amount of intangible assets
To specify disclosure requirements about intangible assets
Following disclosures should be done in the financial statements regarding the
intangible assets.
Reporting is similar to that for PPE and involves disclosure of;
- Significant accounting policies
24. - Separate classes of intangibles
- Basis for amortization
- Basis for finite useful lives
- Whether the asset is amortized
Differs from PPE because contra accounts not normally shown for intangibles
On balance sheet;
- Intangibles should be reported as a separate item.
- Goodwill, if present should be reported as separate item.
25. On income statement;
- Amortization expense and impairment losses(except goodwill) should be
presented as part of continuing operations
- Goodwill impairment losses presented on separate line
Notes should contain information about acquired intangibles, revaluations,
impairments and reversals
Disclosures on research and development cost
- Aggregate amount of costs.
- Costs charged to expense during period.
- Capitalized developments expenditures where material.