Show the statement of financial position, Financial Management

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A friend is looking for advice on one of his investments, KER. KER manufactures stationery supplies, the entity appointed a new Chairman in 2008 and since then has been executed an expansion strategy aimed at pursuing new markets with its active product base.

In the 2009 annual report The Chairman's report included and announces the success of the expansion plan, citing increased returns and profits as evidence of the entity's success, and noting that the entity has invested in non-current assets to ensure returns continues to increase. Your friend is intending to hold his investment in KER based on the positive chairman's report but has asked you to consider the monetary information to assess whether the figures support the chairman's claims.

The statement of financial position as at 31 December 2009 and its comparative is shown below:

2009		2008
$m		$m
ASSETS
Non-current assets
Property, plant and equipment	480		404
Investment in associate	177		-
Available for sale investments	150		140
807		544
Current assets
Inventories	145		65
Receivables	247		134
Cash and cash equivalents	-		22
392		221
Total assets	1,199		765
EQUITY AND LIABILITIES
Equity
Share capital	100		100
Revaluation reserve	74		32
Other reserves	32		22
Retained earnings	457		333
Total equity	663		487
Non-current liabilities
Loans	400		210
Current liabilities
Payables	99		68
Overdraft	37		-
136		68
Total liabilities	536		278
Total equity and liabilities	1,199		765

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