VERTICAL ANALYSIS

% % %
2016 2015 2014 2016 2015 2014

REVENUES 1,332,811.69 1,525,521.39 1,356,648.78 100% 100% 100%

LESS: COST OF REVENUE 950,540.41 1,175,697.25 1,038,207.30 71.32% 77.07% 76.53%
GROSS INCOME 382,271.28 349,824.14 318,441.48 28.68% 22.93% 23.47%
LESS:
ADMINISTRATIVE EXPENSE 157,888.28 121,866.39 0 11.85% 7.99% 0
OTHER EXPENSE 51,333.00 50,304.40 93,804.00 3.85% 3.30% 6.91%
NET INCOME(LOSS) BEFORE INCOME TAX 173,050.00 177,653.35 224,637.48 12.98% 11.65% 16.56%
PROVISION FOR (BENEFIT FROM) INCOME TAX 51,915.00 53,296.00 61,346.91 3.89% 3.49% 4.52%
NET INCOME(LOSS) AFTER INCOME TAX 121,135.00 124,357.34 163,290.57 9.09% 8.15% 12.04%
ADD: INTEREST INCOME 0.00 3,400.00 2,040.76 0 0.22% 0.15%

NET COMPREHENSIVE INCOME(LOSS) 121,135.00 127,757.34 165,331.33 9.09% 8.37% 12.19%

As what can be seen in the vertical analysis, the income of LG Laundry has been fluctuating
through the three comparative years. Using the common size statements, the year 2014 has the
highest percentage of profit margin, the factor that gave a huge impact on this is the absence of
the administrative expense and also the additional interest income. On the years 2015, and 2016,
the occurrence of the administrative cost gave rise to the incremental movement of the expense.
The absence of the administrative cost during 2014 made the same year to have the highest
taxable income, which gave rise to higher tax deduction. Looking at the percentages of the net
comprehensive income, 2015 generated the lowest profit margin, this is due to the relatively high
increase in cost of revenue and other expense. The year 2016 also had the relatively same
situation as in year 2015 but the cost of revenue declined by almost 6% but the administrative
cost increased by almost 4% and higher tax deduction for the said year.
Balance Sheet
% % %
2016 2015 2014
2016 2015 2014
ASSETS
CURRENT ASSETS
Cash 1,826,270.41 1,823,817.25 1,688,185.76 61.15% 64.31% 61.55%
Trade and other receivables 289,501.44 203,103.08 143,814.09 9.69% 7.16% 5.24%
Total Current Assets 2,115,771.85 2,026,920.33 1,831,999.85 70.84% 71.47% 66.80%

NON-CURRENT ASSETS
Property and equipment 870,724.98 809,032.80 910,616.90 29.16% 28.53% 33.20%
Total Non-Current Assets 870,724.98 809,032.80 910,616.90 29.16% 28.53% 33.20%

TOTAL ASSETS 2,986,496.83 2,835,953.13 2,742,616.75 100.00% 100.00% 100.00%

LIABILITIES AND EQUITY

CURRENT LIABILITIES
Trade and other payables 68,257.36 43,206.01 51,063.18 2.29% 1.52% 1.86%
Income tax payable 4,200.50 5,043.20 26,409.48 0.14% 0.18% 0.96%
Other current liabilities 19,963.08 14,763.04 19,505.54 0.67% 0.52% 0.71%
Total Current Liabilities 92,420.94 63,012.25 96,978.20 3.09% 2.22% 3.54%

EQUITY
Share capital 2,500,000.00 2,500,000.00 2,500,000.00 83.71% 88.15% 91.17%
Cumulative earnings(deficits) 394,075.89 272,940.89 145,183.54 13.20% 9.62% 5.29%
Total Equity 2,894,075.89 2,772,940.89 2,645,183.54 96.91% 97.78% 96.46%

TOTAL LIABILITIES & EQUITY 2,986,496.83 2,835,953.13 2,742,161.75 100.00% 100.00% 100.00%