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MCS,PHD
Argosy University/ Phoniex University/
Nov-2005 - Oct-2011
Professor
Phoniex University
Oct-2001 - Nov-2016
Avon Rubber plc
Consolidated Income Statement for the Year Ended 30 September
| Â |
2009 |
2008 |
|
Continuing  operations |
 |  |
|
Revenue |
91,688 |
54,606 |
|
Cost of  sales |
68,148 |
44,476 |
|
Gross  profit |
23,540 |
10,130 |
|
Distribution  costs |
4,676 |
3,445 |
|
Administrative  expenses |
16,881 |
20,496 |
|
Other  operating income |
120 |
1,225 |
|
Operating  profit/(loss) from continuing operations |
2,103 |
12,586 |
|
Operating  profit/(loss) is analysed as: |
 |  |
|
Before  depreciation, amortization and exceptional |
8,595 |
686 |
|
Depreciation  and amortization |
3,957 |
3,419 |
|
Operating  profit/(loss) before exceptional items |
4,638 |
4,105 |
|
Exceptional  operating items |
2,535 |
8,481 |
|
Finance  income |
33 |
27 |
|
Finance  costs |
1,539 |
1,015 |
|
Other  finance income |
394 |
1,183 |
|
Profit/(loss) Â before taxation |
991 |
12,391 |
|
Taxation |
1,699 |
1,259 |
|
Profit/(loss) Â for the year from continuing operations |
708 |
11,132 |
|
Discontinued  operations |
 |  |
|
Profit/(loss) Â for the year from discontinued operations |
566 |
8,337 |
|
Loss for  the year |
142 |
19,469 |
|
Earnings/(loss) Â per share |
 |  |
|
Basic |
(0.6)p |
(68.4)p |
|
Diluted |
(0.6)p |
(68.4)p |
|
Earnings/(loss) Â per share from continuing operations |
 |  |
|
Basic |
(2.6)p |
(39.1)p |
|
Diluted |
(2.6)p |
(39.1)p |
Instructions
(a) Review the Avon Rubber income statement and identify at least three differences between the IFRS income statement and an income statement of a U.S. company as presented in the chapter.
(b) Identify any irregular items reported by Avon Rubber. Is the reporting of these irregular items in Avon’s income statement similar to reporting of these items in U.S. companies’ income statements? Explain.
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