This is BTEC Level 3 Business Diploma Unit 2 Unit 5 - P5. The BTEC has combined Unit 2 and Unit 5 as they've similar topics and hence we have one P5 for two units. I can assure you that this work will get you an easy pass as I got it too! Good luck xx
Unit 5 P5: You are required to perform ratio analysis to measure the profitability, liquidity and efficiency for JUTE FASHIONS LTD for the
year 2019. Unit 2 P7 illustrate the financial state of JUTE FASHIONS LTD.
NB: You will need the profit and loss account and the balance sheet you prepared in P4 to help you
Ratio Calculations for JUTE FASHIONS LTD.
Answer (rounded) to 2
Ratios Formulae Show Working decimal places
Profitability
Gross Profit Percentage Gross Profit x 100 285,000 x 100 81.43%
Sales Turnover 350,000
Net profit Percentage Net Profit x 100 58,000 x 100 16.71%
Sales Turnover 350,000
Return Capital Employed
Return on capital employed Net Profit x 100 58,500 x 100 0.10%
(ROCE)% where capital Capital employed 58,015,000
employed = Capital + Long-term
liabilities
1 Unit 2: Business Resources/ Business Accounting Task 3 Basic Ratios
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller joshnadsilva. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $5.17. You're not tied to anything after your purchase.