Assignment Task

A.

• What is the total revenue generated by content sales in 2023 by E Media Holdings? Write the full mathematical number i.e., R 12 345 678.90 
• Write down to full mathematical number representing the total amount of revenue generated from ‘Advertising in 2023’ in English Words format e.g. Two hundred and fifty-six. 
• Calculate the total average revenue made by E Media holdings between 2023 and 2022 financial year. 
• If E Media Holdings decide to increase 2023 Licence fees by 6% for the year 2024, what will be the new revenue for Licence fees?
• Round of the Falicity Income for the year ended 2023 to the nearest million. Write the full mathematical number i.e., R 12 345 678.90.

1. You are given the following information of FIM Ltd which operate in the entertainment industry to interpret to stakeholders during the meeting

1. For each ratio given above briefly explain what it is intended to measure 
2. Give one possible reason for a ratio that is higher (or lower) than the industry ratio (Assume that FIM Ltd is slightly riskier than the industry). 
3. Explain why company prefers to cut costs to improve profitability than to increase revenue
4. The following budget data for M&H Media Co, M&H Media Co. has shop that makes and sell personalized canvas portraits. The following information was made available to the manger for budget preparation:

• 70 per cent of sales are expected to be cash sales and the balance of the sales is expected to be collected after 30 days.
• The budgeted purchase of canvas material will be 40 per cent of the sales price, it will be purchased in the month of sale.
• Creditors must be paid 30 days after purchases.
• Included in the general cost is R500 monthly depreciation. All general costs that must be paid will be paid in the month the expense incurred.
• Sales commissions consist of 10 per cent of the sales and are paid one month after the sale is made.
• M&H plans to sell off its old furniture end of August for R2 000. The company expects to receive the cash in the subsequent month of sale. It plans to replace it with new furniture at a cost of R10 500. It has credit arrangement with the supply to pay it after 60 days.
• M&H has R500 in the bank at the end of August.

1. You are required to prepare a cash budget for September, October and November. Round off to two decimals.