Here is the solution to the Departmental Final Accounts question from the 2011 Ordinary Level Mock Paper.
Posts Tagged 'accounts'
Tags: accounts, bookkeeping, day books, ledger, paper 2g, question 1
Thanks to MyStudyMate.ie
Tags: accounts, manchester united
While we all read about the high level of debt in the club, it’s not all bad news:
- It made an Operating Profit of £1oom – the first English club to do so.
- Turnover increased to £286m per annum. Manchester City’s turnover is £125m.
- The club has £165m in cash.
However, all is not as it seems:
- Wages increased by 7% to £132m per annum.
- The level of debt has actually increased since last year.
- The club made an overall loss of £83.6m. This is the amount of money the club lost after paying the interest on its debt. The club must pay at least £40m every year in interest to its lenders.
- The club owes over £769m in total.
So, do you think Manchester United could end up like Liverpool?
Do you think it will have to sell more players in order to help its financial position?