MODEL OF A FINANCIAL CYCLE OF A COMPANY: ABC Corporation discloses the following initial balances at 01.01.

N: Subscribed an paid capital 50000 Share premium 1000 Legal reserves 10000 Retained earnings Long term bank loans 11000 Interest for long term loans 800 Land and land improvements 15000 Buildings 25000 Depreciation of buildings 4000 Plant and machinery 18000 Depreciation of plant and machinery 2000 Raw materials 7000 (70 units * 100 m.u. /unit) Consumables 1500 (150 units * 10 m.u./unit) Finished goods 10000 (80 units * 125 m.u../unit) Merchandise 6000 (30 units * 200 m.u./unit) Suppliers 8000 Bills of exchange payable 1600 Suppliers invoices to be received 2000 Advance payments to suppliers 3400

Customers 9000 Doubtful customers 2500 Bills of exchange receivable 4500 Customers invoices to be issued 7000 Advance encashments from customers 3800 VAT receivable 4000 VAT deffered 1000 Provisions for doubtful customers 700 Shares 3600 Cash at bank 60000 Short term bank loans 5000 Cash on hand 2000

Requirements:

Compute the retained earnings. Journalize the following transactions.

Analyze the most important economic and financial ratios. During the accounting period, the following transactions occurred: 1) Acquisition of raw materials 200 units, 110 unit price, VAT 24%, VAT 24%. 2) The payment of the supplier is done using a note payable with a maturity date of 3 months. 3) The bills of exchange receivable are cashed in one month before the maturity date and the bank asks for a commission of 50 m.u.

4) The company buys consumables (300 units for 12 m.u. unit price, VAT 24%). 5) Purchase on commercial credit of merchandise, unit price 210 m.u., 400 units; VAT 24%. 6) Record the advance payments from the bank account to the employees for 7000. 7) Selling merchandise, 300 units (using FIFO), unit price 240, VAT 24%. 8) Payment of the suppliers of merchandise from the bank account. 9) Receiving from a client an advance for finished goods for 5000. 10) 11)
12)

Recording the gross salaries payable for 20000. Selling finished goods, 60 units, unit price 140 m.u., VAT 24% and The company records its contributions regarding the salaries: CCSSF The company records the employees contributions: ECSSF 9,5%;

cashing in the rest of the claim in a note receivable. 22%, CCHCF 7%, CCUF 3%
13)

ECHCF 6,5%; ECUF 1%, salary tax 16% from the gross salary deducting all other contributions.
14)

Obtaining finished goods 200 units, standard cost 125 m.u.. Payments of the contributions regarding salaries to the budgets from Cashing in all the claims in cash. Transferring all the money into the bank account. Paying from the bank account the net salaries. The company receives dividends from another corporation 11000. The interest for the long term bank loan is paid. Providing services for a customer for 7140, including VAT. Close the expenses and revenues accounts. Close the VAT accounts.

15) 16)
17)

the bank account.

18) 19) 20)

21)

22) 23)

Compute the income tax and the net profit and pay the income tax.

1) Achizitionarea materiilor prime 200 unitati, 110 pretul pe unitate, VAT 24% 2) Plata furnizorului se face utilizand efecte platibile cu o scadenta de 3 luni. 3) Politele de incasat sunt primite intr-o luna inainte de scadenta si banca cere un comision de 50 de unitati monetare 4) Compania cumpara consumabile (300 de unitati pentru 12 unitati monetare la pretul de unitate, TVA 24%) 5) Achizitie pe credit comercial de marfa, pretul de unitate 210 u.m., 400 unitati, TVA 24% 6) Se inregistreaza platile in avans din contul bancar catre angajati de 7000. 7) Vanzarea marfii, 300 unitati (folosind metoda FIFO), pretul de unitate 240, TVA 24% 8) Plata furnizorilor marfii din contul bancar 9) Se primeste de la un client un avans pentru produsele finite de 5000 10) Se inregistreaza salariile brute de incasat de 20000 11) Vanzarea produselor finite, 60 de unitati, pretul de unitate 140 u.m., TVA 24% si incasarea restului creantei prin efecte comerciale 12) Compania isi inregistreaza contributiile privind salariile : CCSSF 22%, CCHCF 7%, CCUF 3% 13) Compania inregistreaza contributiile angajatilor: CCSSF 22%, CCHCF 7%, CCUF 3% 14) Obtinerea produselor finite 200 unitati, costul standard de 125 u.m. 15) Platile contributiilor privind salariile catre bugete din contul bancar 16) Incasarea tuturor creantelor in numerar

17) Transferarea intregii sume de bani in contul bancar 18) Plata din contul bancar a salariilor nete 19) Compania primeste dividende de la alta corportatie 11000 20) Dobanda imprumutului bancar pe termen lung e platit 21) Asigurarea serviciilor pentru un client pentru 7140, incluzand TVA 22) Inchiderea conturilor de cheltuieli si venituri 23) Inchiderea conturilor de TVA Calculati impozitul pe venituri si profitul net si platiti impozitul.