Abiot Asfiye authorized accountant

Mobile --- 09-11-64-92-30

Email address :- [email protected]

MOiKA General CONSTRACTION PLC

Sane 30/2012 e.c

Financial statment OF MOiKA General CONSTRACTION PLC

We have audited the accompanying Balance Sheet MOiKA General
CONSTRACTION PLC as of 07 July 2020 and related Profit and
loss Account and cash flow statements for the year then ended and
a summary of significant accounting policies and other explanatory
notes.

Management’s Responsibility for the Financial Statements

The Company’s management is responsible for the preparation and

fair presentation of these financial statements. This responsibility
includes: designing, implementing and maintaining internal control
relevant to the preparation and fair presentation of financial
statements that are free from material misstatement, whether due
to fraud or error: selecting and applying appropriate accounting
policies: and making accounting estimates that are reasonable in
the circumstances.

Auditors’ Responsibility

Our responsibility is to express an opinion on these financial

statements based on our audit. We conducted our audit in
accordance with International Standards on Auditing. Those
standards require that we comply with ethical requirements and
plan and perform the audit to obtain reasonable assurance whether
the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence

about the amounts and disclosures in the financial statements. The
procedures selected depend on the auditor’s judgment, including
the assessment of the risks of material misstatement of the
financial statements, whether due to fraud or error. In making
those risk assessments, the auditor considers internal control
relevant to the entity’s preparation and fair presentation of the
financial statements in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of
expressing an opinion on the effectiveness of the entity’s internal
control. An audit also includes evaluating the appropriateness of
accounting policies used and the reasonableness of accounting
estimates made by management, as well as evaluating the overall
presentation of financial statements.

We believe that the audit evidence we have obtained is sufficient

and appropriate to provide a basis for our audit opinion.

Basis for qualified opinion

Due to late appointment as auditors of the Company we did

not attend the year- end stock and cash count.

The accounts of the Company for the previous years were not
audited by independent auditors; as a result we are unable to
 ascertain the fairness of opening balance brought forward to this
account.

Qualified opinion

In our opinion, except for the above scope limitation, the financial
statements present fairly, in all material respects, the financial
position of MOiKA General CONSTRACTION PLC as of 07 July 2020
and of its financial performances and cash flows for the year then
ended and are prepared in accordance with Generally accepted
Accounting Principles.

Abiot Asfiye
Autorized Accountant

MOiKA General CONSTRACTION PLC

Notes to the Accounts
For The Ended of July 07, 2020

1. Accounting policies
Generally Accepted Accounting Policies (GAAP) is used. The financial
statements are prepared under historical cost convention. The principal
accounting policies adopted by and consistently by the company are as
follows:-
A) Property, plant and equipment

Property, plant and equipment are stated at cost less depreciation.

Depreciation is provided according to the pooling system at the following rates
applied on the beginning book value of each group of assets determined by
adding purchases and deducting disposals during the year.
%
Building 5
 Plant and Machinery 20
Equipments 20
Furniture’s and Fixtures 20
Computers and Accessories 25

B) Income and Expense recognition

Income is recognized when earned and expenses are recorded when
incurred.

CASH AND CASH EQUIVALENT

Cash and cash equivalents includes cash on hand, deposits held at call
with banks, other short term highly liquid investments with original
maturities of three months or less, and bank overdrafts. Bank overdrafts are
shown within borrowings in current liabilities on the statement of financial
position.

TAXATION
Income tax expense represents the sum of the tax currently payable and
deferred tax. The tax currently payable is based on taxable profit for the
year. Taxable profit differs from profit as reported in the profit or losses
because some items of income or expense are never taxable or deductible for
tax purpose. The company’s liability for current tax is calculated using tax
rates that have been enacted or substantively enacted by the end of the
reporting period.

Notes to the Accounts

For The Ended of July 07, 2020

2. Accounting policies
Generally Accepted Accounting Policies (GAAP) is used. The financial
statements are prepared under historical cost convention. The principal
accounting policies adopted by and consistently by the company are as
follows:-
C) Property, plant and equipment

Property, plant and equipment are stated at cost less depreciation.

Depreciation is provided according to the pooling system at the following rates
applied on the beginning book value of each group of assets determined by
adding purchases and deducting disposals during the year.
%
Building 5
Plant and Machinery 20
Equipments 20
Furniture’s and Fixtures 20
 Computers and Accessories 25

D) Income and Expense recognition

Income is recognized when earned and expenses are recorded when
incurred.

CASH AND CASH EQUIVALENT

Cash and cash equivalents includes cash on hand, deposits held at call
with banks, other short term highly liquid investments with original
maturities of three months or less, and bank overdrafts. Bank overdrafts are
shown within borrowings in current liabilities on the statement of financial
position.

TAXATION
Income tax expense represents the sum of the tax currently payable and
deferred tax. The tax currently payable is based on taxable profit for the
year. Taxable profit differs from profit as reported in the profit or losses
because some items of income or expense are never taxable or deductible for
tax purpose. The company’s liability for current tax is calculated using tax
rates that have been enacted or substantively enacted by the end of the
reporting period.

ZUYING XUE
profit and loss statement
for the twelve months hamle1/2011-sane30/2012
tin no-0051803592

2012
Revenues
Sales Income 51,691,412.61
Other Income -

Total Revenues 51,691,412.61

Cost of Sales
Beginning Inventory 353,201.53
Raw M. Costs (Cost of Sales) 49,803,240.49
Direct Labor cost
Indirect Labor -
Cost of Sales-Freight -
Cost of Sales-Salary & Wage -
Ending Inventory 2,452,500.00
 Total Cost of Sales 47,703,942.02
Gross Profit 3,987,465.59
Expenses
Salary & Wages Expense 77,855.56
Rent or Lease Expense 1,956,521.75
Maintenance & Repairs Expense 9,788.73
Utilities Expense 249,932.73
Telephone Expense 53,346.73
Office Supplies Expense 1,150.00
Oil and Lub. Expense 380,943.93
Medical expenses 11,996.70
Insurance Expense -
Depreciation Expense 138,327.38
Gain/Loss - Sale of Assets Exp

Total Expenses 2,879,863.51

Net Income 1,107,602.08

ZUYING XUE
BALACE SHEET
for the twelve months hamle1/2011-sane30/2012
tin no-0051803592

ASSETS
Current Assets
Checking Account 8,014,529.72
Raw Materials Inventory 2,452,500.00
VAT Receivable 1,979,808.29
Current Assets 426,909.48

Total Current Assets 0

Property and Equipment
Computer and related Access 11,478.26
Acc.DepComputer&related Access (2,869.57)
Machinery and Tools 657,120.30
Acc.Dep. Machinery and Tools (241,110.67)
Office Furinture and Equipment 20,171.02
Acc.dep.Furn.&Equipment (4,034.20)

Total Property and Equipment 550,441.75

Other Assets

Total Other Assets 0.00

Total Assets 13,424,189.24

LIABILITIES AND CAPITAL

Current Liabilities
Total Liabilities 0.00
Capital
Capital 9,000,000.00
Retained Earnings 3,316,587.16
Net Income 1,107,602.08

Total Capital 13,424,189.24

Total Liabilities & Capital 13,424,189.24

ZUYING XUE
Notes to the Accounts
For The Ended of July 07, 2020

3. Accounting policies
Generally Accepted Accounting Policies (GAAP) is used. The financial
statements are prepared under historical cost convention. The principal
accounting policies adopted by and consistently by the company are as
follows:-
E) Property, plant and equipment

Property, plant and equipment are stated at cost less depreciation.

Depreciation is provided according to the pooling system at the following rates
applied on the beginning book value of each group of assets determined by
adding purchases and deducting disposals during the year.
%
Building 5
Plant and Machinery 20
Equipments 20
Furniture’s and Fixtures 20
Computers and Accessories 25

F) Income and Expense recognition

Income is recognized when earned and expenses are recorded when
incurred.
CASH AND CASH EQUIVALENT

Cash and cash equivalents includes cash on hand, deposits held at call
with banks, other short term highly liquid investments with original
maturities of three months or less, and bank overdrafts. Bank overdrafts are
shown within borrowings in current liabilities on the statement of financial
position.

TAXATION
Income tax expense represents the sum of the tax currently payable and
deferred tax. The tax currently payable is based on taxable profit for the
year. Taxable profit differs from profit as reported in the profit or losses
because some items of income or expense are never taxable or deductible for
tax purpose. The company’s liability for current tax is calculated using tax
rates that have been enacted or substantively enacted by the end of the
reporting period.
 ZUYING XUE
FIXED ASSETS
A. Cost of Fixed Assets

Net Book Value of the Accumulate Net Book Value of the

Item Description Total Asset year 2011 depreciation 2012 year 2012
Machinery and Tools 657,120.30 657,120.30 131,424.06 525,696.24
Office Equipment and Furniture 20,171.02 20,171.02 4,034.20 16,136.82
Computer and related Access 11,478.26 11,478.26 2,869.57 8,608.70
Total 8,636,390.31 5,517,391.21 138,327.83 550,441.75