Mohsin Annual Report-Final 1-91:Layout 1.qxd - Siemens Pakistan

116Notes to the Financial Statements18.1 This includes Rs 33.916 million (2006: Rs 56.352 million) representing excess contribution as per actuarial valuation in funded employees'gratuity scheme.19. CASH AND BANK BALANCES 2007 2006Note (Rupees in ‘000)With banks in- Current accounts 150,324 11,033- Deposit accounts 3,007,305 1,617,264Cheques in hand 151,014 141,908Cash in hand 3,265 843,311,908 1,770,28920. NET SALESExport - Goods 46,313 112,919- Services 59,114 18,704Contracts executed outside Pakistan 5,610,671 4,657,654Against International Tenders 110,455 64,000Other - Goods 9,859,519 8,213,213- Services including projects 6,552,903 7,931,697Gross sales 22,238,975 20,998,187Commission paid (23,923) (4,027)Sales tax (313,300) (198,313)Net sales 21,901,752 20,795,84721. COST OF SALESOpening inventory of finished goods 623,464 271,997Cost of goods manufactured and services rendered 21.1 18,029,491 18,139,885Finished goods purchased 975,374 555,67219,628,329 18,967,554Closing inventory of finished goods (851,706) (623,464)Cost of sales 18,776,623 18,344,09021.1 Cost of goods manufactured and services renderedOpening inventoriesRaw materials and components 894,697 439,674Goods-in-transit 220,592 207,884Work-in-process 958,742 766,739Inventories of CTI at acquisition - . 289,5442,074,031 1,703,841Purchase of goods and services 14,639,568 14,220,526Salaries, wages and employees welfare expense 1,572,745 1,337,876Gratuity fund expense / (reversal) 11,133 (1,308)Provident fund contribution 14,784 11,772Fuel, power and water 423,453 624,608Repairs and maintenance 213,249 178,867Rent, rates and taxes 452,333 507,665Liquidated damages for late deliveries - net of recoveries 491,052 126,584Warranty and other contractual obligations (196,695) 580,944Slow moving and obsolete items of inventories 109,343 58,674IT, networking and data communication 45,863 38,527Insurance 58,454 76,960Depreciation and amortisation 13.3 137,427 143,587Transportation 81,922 84,478Travelling and conveyance 249,465 324,871Stationery, telex and telephone 95,677 111,110Others 275,285 132,38320,749,089 20,261,965Closing inventoriesRaw materials and components (1,202,878) (894,697)Goods-in-transit (405,166) (220,592)Work-in-process (1,061,490) (958,742)(2,669,534) (2,074,031)18,079,555 18,187,934Sale of scrap (50,064) (48,049)18,029,491 18,139,885