472 Final work: general principles, analytical review of financial statements

FIGURE 12.2 Sterndale plc: analysis of sales and trade receivables

Average sales Average sales

transactions transactions
2011 9 months Weekly 2010 9 months Weekly %
% % % % incr

Sales
Product group 1
Cash 3 330 059 15 766 966 5
Credit 18 870 333 85 14 572 357 95
31 22 200 392 100 8 880 157 227 696 29 15 339 323 100 6 135 729 157 326 44.7
Product group 2
(5 to 50)
Cash 2 148 425 12 973 254 8
Credit 15 755 117 88 11 192 416 92
25 17 903 542 100 651 038 16 693 23 12 165 670 100 442 388 11 343 47.2
Product group 3
(50 to 100)
Cash 1 260 409 11 476 048 6
Credit 10 197 858 89 7 458 085 94
16 11 458 267 100 152 777 3 917 15 7 934 133 100 105 788 2 713 44.4
Product group 4
(100 to 500)
Cash 401 039 2 174 551 1
Credit 19 650 928 98 17 280 541 99
28 20 051 967 100 66 840 1 714 33 17 455 092 100 58 184 1 492 14.9
Total sales 100 71 614 168 100 100 52 894 218 35.4
Total cash 7 139 932 10 2 390 819 5
Total credit 64 474 236 90 50 503 399 95
71 614 168 100 52 894 218 100

Trade receivables at 30 No. No.

November 2011 % Value % Ave. 2010 % Value % Ave.
Zero balances 950 15.1 0 0 0 900 15.10 0 0 0
Credit balances 85 1.3 496 100 5.4 5 836 40 0.7 234 770 4.0 5 869
1 to 1 000 4 836 76.7 3 134 789 34.2 648 4 554 75.9 1 468 600 25.0 322
1 001 to 10 000 290 4.6 525 600 5.7 1 812 300 5.0 376 500 6.4 1 255
10 001 to 20 000 78 1.2 1 701 200 18.5 21 810 100 1.7 1 206 900 20.5 12 069
Over 20 001 36 0.6 4 189 956 45.7 116 388 30 0.5 2 719 010 46.2 90 634
Sdy drs with coll agent 32 0.5 115 789 1.3 3 618 76 1.3 349 856 5.9 4 603
Total 6 307 100.0 9 171 234 100.0 1 454 6 000 100.0 5 886 096 100.0 981

Days collectability
Total sales: total trade receivables 47 days 41 days
Credit sales: total trade receivables 52 days 43 days
Credit sales: receivables 54 days 42 days
not in hands of collection
agencies and ignoring
credit balances

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