RUAHA FREIGHT LIMITED

ANNUAL REPORT AND AUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER, 2023

MKUKI CONSULTANTS
Certified Accountants and Auditors
(In Public Practice) PF 187
P. O. Box 1827, DAR ES SALAAM
RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

TABLE OF CONTENTS

CONTENTS PAGE

Company Information ……………………………………………………………………………… 2

Directors' Report ……………………………………………………………………………………. 3-4

Statement of Directors' Responsibilities ………………………………………………………… 5

Independent Auditor's Report ……………………………………………………………………. 6-8

Financial Statements:

Statement of Profit or Loss and Other Comprehensive Income ………………………… 9

Statement of Financial Position …………………………………………………………….. 10

Statement of Changes in Equity ……………………………………………………………. 11

Statement of Cash Flows …………………………………………………………………….. 12

Notes to the Financial Statements ………………………………………………………….. 13-19

Detailed Tax Computation …………………………………………………………………… 20

1
RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

Company Information

Company name : RUAHA FREIGHT LIMITED

Country of incorpoation : TANZANIA

Incorporation number : 134948132

TIN : 134-948-132

Tax Office : Ilala Tax Region

Dar es Salaam

Board of directors : Names Nationality

1 AZIZ HAMIS MWANGA Tanzanian
2 ZACHARIA JAPHET NYAKI Tanzanian

Company secretary : AZIZ HAMIS MWANGA Tanzanian

Registered office : Plot No. 685 Block No. 129,

Kwame Nkrumah Street,
P. O. Box 6524,
Dar es Salaam.

Principal bankers :

Independent Auditor : MKUKI CONSULTANTS

Certified Accountants and Auditors
(In Public Practice) PF 187
P. O. Box 1827, Dar es Salaam

2
RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

DIRECTORS’ REPORT

The Directors present their report together with the Audited Financial Statements for the year
ended 31st December 2023, which enclose the state of affair of the Company for the period then
ended.
Incorporationand Principal Activities
The Company is domicile in Tanzania where it was incorporated as a private company limited by
shares under the Tanzanian Companies Act, 2002. The address of the registered office is as set out
on page 1. The principal activity of the Company is to carry out the business of clearing and
forwarding, transportation and courier services.

Results and Appropriation

The profit for the year is as set out on page 9. The directors do not recommend the declaration of a
dividend for the year.

Directorate
The directors of the Company who held office during the year and to the date of this report are as
set out on page 1.

Solvency
The financial statements have been prepared on the basis of accounting policies applicable to a
going concern. These basis presumes that funds will be available to finance future activities and
operations and that the realization of assets and settlement of liabilities, contingent obligations and
commitments will occur in the ordinary course of activities. The ability of the company to continue
as a going concern is dependent on a number of factors. The most significant of these is that the
directors continue to procure funding for the ongoing activities of the company.

The board of directors has reasonable expectation that the Company has adequate resources to
continue in operational existence for the foreseeable future.

Corporate governance
The Board takes overall responsibility for the company, including responsibility for identifying key
risk areas, considering significant financial matters, and reviewing the performance of
management, strategic plans and budgets. The Board is also responsible for ensuring that a
comprehensive system of internal control policies and procedures is operative, and for compliance
with sound corporate governance principles.

The Board meets at least four times a year to review the company short and long-term strategies.
The Board delegates the day to day management of the company to the Country Representative
assisted by the managers. Members for the senior management team are invited to attend board
meetings and facilitate the effective control of all the company operational activities. The company
is committed to the principles of effective corporate governance. The directors also recognize the
importance of integrity, transparency and accountability.

3
RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

DIRECTORS' REPORT (CONTINUED)

Risk management and internal control

The Board accepts the final responsibility for the risk management and internal control system of the
company. It is the task of management to ensure that adequate internal financial and operational
control systems are developed and maintained on an on-going basis in order to provide reasonable
assurance regarding: effectiveness and efficiency of operations, safeguarding of the company’s assets,
compliance with applicable laws and regulations, reliability of accounting records, operational
sustainability under normal as well as adverse conditions; and responsible behavior towards all
stakeholders.

The efficiency of any internal control system is dependent on the strict observance of prescribed
measures. There is always a risk of non-compliance of such measures by staff. Whilst no system of
internal controls can provide absolute assurance that the procedures in place are operating effectively.
The management and the board assessed the internal control systems throughout the financial year and
are of the opinion that they met accepted criteria.

Employee’s welfare
The company’s employment terms are reviewed annually to ensure that they meet statutory and market
conditions. The relation between the board and the management continued to be cordial during the year.
There were no unresolved complaints received by the board from the employees during the year.
In order to improve the motivation of employees, the company provides training and holds regular
meetings with employees to discuss workplace development.

Auditors
In accordance with the provision of the Companies Ordinance and the company’s Article of Association, a
resolution to re-appoint MKUKI CONSULTANTS as auditors will be put to the Annual General

Approval of the financial statements

The financial statements, as indicated below, were approved by the Board of Directors on
………………………………………………… and are signed on its behalf by:

…………………………………..
Aziz Hamis Mwanga
Director

4
RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

STATEMENT OF DIRECTORS' RESPONSIBILITIES

The Companies Act, 2002 requires the directors to prepare financial statements for each financial
period which give a true and fair view of the state of affairs of the company as at the end of the
financial year and of the operating results for that year. It also requires the directors to ensure that
the company maintains proper accounting records which disclose with reasonable accuracy the
financial position of the company. The directors are also responsible for safeguarding the assets of the
company.

The directors accept the responsibility for the financial statements which have been prepared using
appropriate accounting policies supported by reasonable and prudent judgements and estimates,and
in conformity with the International Financial Reporting Standards and the requirements of the
Tanzanian companies Act, 2002. The directors are of the opinion that the financial statements give a
true and fair view of the state of financial affairs of the company as at 31 December 2023 and of its
operating results for the year then ended. The directors further confirm the accuracy and
completeness of the accounting records maintained by the company which have been relied upon in
the preparation of the financial statements, as well as on the adequacy of the systems of internal
financial controls

Nothing has come to the attention of the directors to indicate that the company will not remain a
going concern for at least the next twelve months from the date of this statement.

Approved by the board of directors on ………………………………………. and signed on its behalf by:

……………………………………..
Aziz Hamis Mwanga
Director

5
 INDEPENDENT AUDITOR’S REPORT

Report on the Audit of the Financial Statements

We have audited the financial statements of Ruaha Logistics Limited (the " Company" ) as set out on pages 9 to
12 comprise: Statement of financial position as at 31 December 2023; Statement of profit or loss and other
comprehensive income for the year then ended; Statement of changes in equity for the year then ended;
Statement of cash flows for the year then ended; and the notes to the financial statements, which include
significant accounting policies and other explanatory information.
Our opinion
In our opinion the financial statements give a true and fair view of the financial position of the Company as at
31 December 2023 and of its financial performance and its cash flows for the year then ended in accordance

with International Financial Reporting Standards and the requirements of the Companies Act, No.12 of 2002.

Basis of opinion
We conducted our audit in accordance with International Standards on Auditing (ISAs). Our responsibilities
under those standards are further described in the Auditor’s responsibilities for the audit of the financial
statements section of our report. We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our opinion.

Independence
We are independent of the Company in accordance with the International Code of Ethics for Professional
Accountants (including International Independence Standards) issued by the International Ethics Standards
Board for Accountants (IESBA Code) and the ethical requirements of the National Board of Accountants and
Auditors (NBAA) that are relevant to our audit of the financial statements in Tanzania. We have fulfilled our
other ethical responsibilities in accordance with the IESBA Code and the ethical requirements of the NBAA.

Other information
The directors are responsible for the other information. The other information comprises corporate
information, report of the directors, statement of directors’ responsibilities and appendices to the financial
statements but does not include the financial statements and our auditor’s report thereon.

Our opinion on the financial statements does not cover the other information and we do not express any form
of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information
identified above and in doing so, consider whether the other information is materially inconsistent with the
financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated.

If, based on the work we have performed on the other information, we conclude that there is a material
misstatement of this other information, we are required to report that fact. We have nothing to report in this
regard.

6
 INDEPENDENT AUDITOR’S REPORT (CONTINUED)

Responsibilities of the directors for the financial statements

The directors are responsible for the preparation of financial statements that give a true and fair view in
accordance with International Financial Reporting Standards and the requirements of the Companies Act, No.
12 of 2002 and for such internal control as the directors determine is necessary to enable the preparation of
financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the Company’s ability to
continue as a going concern, disclosing as applicable, matters related to going concern and using the going
concern basis of the accounting unless the directors either intend to liquidate the Company or to cease
operations, or have no realistic alternative but to do so. The directors are responsible for overseeing the
Company’s financial reporting process.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free
from material misstatement whether due to fraud or error, and to issue an auditor’s report that includes our
opinion.

Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance
with ISAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or
error and are considered material if, individually or in the aggregate, they could reasonably be expected to
influence the economic decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with ISAs, we exercise professional judgment and maintain professional
skepticism throughout the audit .We also;

(i) Identify and assess the risk of material misstatement of the financial statements, whether due to fraud or
error, design and perform audit procedures responsive to those risks, and 0btain audit evidence that is
sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement
resulting from fraud is higher than for one resulting from error, as fraud may involve collusion ,forgery,
Intentional omissions, or the override of internal control.

(ii) Obtain an understanding of internal control relevant to the audit in order to design audit procedures that
are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of
the company’s internal control.

(iii) Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates
and related disclosures made by the directors.

(iv) Conclude on the appropriateness of the directors’ use of going concern basis of accounting and, based on the
audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast
significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material
uncertainty exists, we are required to draw attention in our auditors report to the related disclosures in the
financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on
the audit evidence obtained up to the date of our auditors report. However, future events or conditions may
cause the Company to cease to continue as a going concern.

(v) Evaluate the overall presentation, structures and content of the financial statements, including the
disclosures, and whether the financial statements represent the underlying transactions and events in a
manner that achieves fair presentation.

7
 INDEPENDENT AUDITOR’S REPORT (CONTINUED)

We communicate with the directors regarding, among other matters, the planned scope and timing of the audit
and significant audit findings, including any significant deficiencies in internal control that we identify during
our audit.

We also provide the directors with a statement that we have complied with relevant ethical requirements
regarding independence, and to communicate with them all relationships and other matters that may
reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with the directors, we determine those matters that were of most significance
in the audit of the financial statements of the current period and therefore the key audit of the financial
statements of the current period and are therefore the key audit matters .We describe these matters in our
auditors report unless law or regulation precludes public disclosure about the matter or when, in extremely
rare circumstances, so we determine that a matter should not be communicated in our report because the
adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such
communication.

Report on other legal and regulatory requirements

Based on our audit we report that:

(i) we have obtained all the information and explanations which to the best of our knowledge and belief were
necessary for the purpose of our audit.
(ii) in our opinion proper books of accounts have been kept by the Company, so far as appears from our
examination of those books; and
(iii) the Company's statement of financial position and statement of profit or loss and other comprehensive
income are in agreement with the books of accounts.

………………………………….
MKUKI CONSULTANTS
Certified Accountants and Auditors
(In Public Practice) PF 187
DAR ES SALAAM

Date:……………………………………………..

8
RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME

31.12.2023 31.12.2022
Notes TSHS TSHS

Revenue 2 11,300,000.00 12,320,000.00

Less: Cost of Goods Sold 3 3,095,800.00 3,095,254.13

Gross Profit 8,204,200.00 9,886,500.00

Other Operating Expenses

Administrative Cost 4 5,203,495.00 4,731,900.00
Employment expenses 5 7,200,000.00 7,200,000.00
Establishment expenses 6 3,479,765.63 3,695,625.00
Finance Cost 7 0.00 2,000,000.00
15,883,260.63 17,627,525.00

Profit/(Loss) for the year before tax (7,679,060.63) (6,741,025.00)

Provisional Tax for the year 12 0.00 0.00
Net profit/(loss) after taxation (7,679,060.63) (6,741,025.00)

………………………….
(Director's signature) Date: ……………………………………………

9
RUAHA FREIGHT LIMITED
Annual report and financial statements
For the Year Ending 31 December 2023

STATEMENT OF FINANCIAL POSITION

31.12.2023 31.12.2022
NOTES TSHS TSHS
ASSETS
Non-Current Assets

Property, Plant and Equipment 8 1,639,609.38 2,119,375.00

1,639,609.38 2,119,375.00
Current Assets
Cash and Cash Equivalents 9 (559,695.00) 2,719,600.00
Total current assets (559,695.00) 2,719,600.00

Total Assets 1,079,914.38 4,838,975.00

EQUITY AND LIABILITIES

Capital and Reserves
Share Capital 10 5,000,000.00 5,000,000.00
Retained Earnings 11 (14,420,085.63) (6,741,025.00)
Total capital and reserves (4,420,085.63) 3,258,975.00

Current Liabilities
Trade and other payables 12 5,500,000.00 1,580,000.00
Tax payable 13 0.00 0.00

5,500,000.00 1,580,000.00

Total Equity and Liabilities 1,079,914.38 4,838,975.00

………………………….
(Director's signature) Date: ……………………………………………

10
RUAHA FREIGHT LIMITED
Annual report and financial statements
For the Year Ending 31 December 2023

STATEMENT OF CHANGE IN EQUITY

SHARE RETAINED TOTAL

CAPITAL EARNINGS TSHS
Balance as at 1.1.2023 5,000,000.00 (6,741,025.00) 3,258,975.00
Issue of share capital 0.00 0.00 0.00
Advance towards share capital 0.00 0.00 0.00
5,000,000.00 (6,741,025.00) 3,258,975.00
Profit/(Loss) for the period 0.00 (7,679,060.63) (7,679,060.63)
Balance as at 31.12.2023 5,000,000.00 (14,420,085.63) (4,420,085.63)

SHARE RETAINED TOTAL

CAPITAL EARNINGS TSHS

Balance as at 1.1.2022 0.00 0.00 0.00

Issue of share capital 5,000,000.00 0.00 5,000,000.00
Advance towards share capital 0.00 0.00 0.00
5,000,000.00 0.00 5,000,000.00
Profit/(Loss) for the period 0.00 (6,741,025.00) (6,741,025.00)
Balance as at 31.12.2022 5,000,000.00 (6,741,025.00) 3,258,975.00

………………………….
(Director's signature) Date: ……………………………………………

11
RUAHA FREIGHT LIMITED
Annual report and financial statements
For the Year Ending 31 December 2023

CASHFLOW STATEMENT
31.12.2023 31.12.2022
Notes TSHS TSHS
CASHFLOW FROM OPERATING ACTIVITIES
Profit/(Loss) for the year before Tax (7,679,060.63) (6,741,025.00)
Adjustment for:
Depreciation 479,765.63 695,625.00
Profit before changes in working capital (7,199,295.00) (6,045,400.00)

CHANGE IN WORKING CAPITAL ITEMS:

Decrease/(increase) in Trade and Other receivables 0.00 0.00
(Decrease)/Increase in Trade and Other Payables 3,920,000.00 1,580,000.00
Net changes in working capital items 3,920,000.00 1,580,000.00

Cash (used in)/generated from operations (3,279,295.00) (4,465,400.00)

Income tax paid for the year 0.00 0.00
Net cash (used in)/generated from operating activities (3,279,295.00) (4,465,400.00)

INVESTING ACTIVITIES
Acquisition of Fixed Assets 0.00 (2,815,000.00)
Disposal of Fixed Assets 0.00
Net cash (used in) / generated from investing activities 0.00 (2,815,000.00)

FINANCING ACTIVITES
Issue of share capital 0.00 10,000,000.00
Increase/(decrease) in bank overdraft 0.00 0.00
Net cash (used in) / generated from financing activities 0.00 10,000,000.00

INCREASE/(DECREASE) IN CASH AND EQUIVALENTS

Net increase / (decrease) in cash and cash equivalents (3,279,295.00) 2,719,600.00
Cash and cash equivalents at start of period 2,719,600.00 0.00
Cash and cash equivalents at end of period (559,695.00) 2,719,600.00

………………………….
(Director's signature) Date: ……………………………………………

12
RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

1. SIGNIFICANT ACCOUNTING POLICIES

The principal accounting policies adopted in the preparation of these financial statements are set out
below. These policies have been consistently applied to all the years presented, unless otherwise stated.

a) Basis of preparation
These financial statements have been prepared in accordance with International Financial Reporting
Standards for Small and Medium sized Entities, and the requirements of the Companies Act of United
Republic of Tanzania. The annual financial statements have been prepared on the historical cost basis,
and incorporate the principal accounting policies set out below. These financial statements are
presented in Tanzanian Shillings.

b) Revenue recognition
Revenue is measured at the fair value of the consideration received or receivable and represents the
amounts receivable for services provided in the normal course of business, net of discounts and volume
rebates.

c) Taxation
i) Current tax assets and liabilities
Current tax for current and prior periods is, to the extent unpaid, recognised as a liability. If the
amount already paid in respect of current and prior periods exceeds the amount due for those periods,
the excess is recognised as an asset, limited to the extent that it is probable that taxable profits will be
available against which those deductible temporary differences can be utilised.

ii) Tax expense

Income tax expense represents the sum of the tax currently payable and deferred tax movement for
the current period. The tax currently payable is based on taxable profit for the year.

d) Translation of foreign currencies

Transactions in foreign currencies during the year are converted into Tanzanian Shillings (the
functional currency), at the rates ruling at the transaction dates.
At the end of each reporting period:
i) Monetary items denominated in foreign currencies are retranslated at the rates prevailing at that
date.
ii) Non monetary items carried at fair value that are denominated in foreign currencies are
retranslated at the rates prevailing at the date when the fair value was determined.
iii) Non monetary items that are measured in terms of historical cost in a foreign currency are not
retranslated.
Exchange differences are recognised in profit or loss in the period in which they arise

e) Property, Plant and Equipment

Property & equipments are tangible items that:
i) Are held for use in the supply of services and for administrative purpose.
ii) Are expected to be used for more than one period.

Items of property & equipments are initially recognised at cost. Costs include all costs incurred to bring
the asset to the condition necessary for it to be capable of operating in the manner intended by
management.

Subsequent costs are included in the asset's carrying value only when it is probable that future economic
benefits associated with the item will flow to the company and the cost of the item can be measured
reliably. Repairs and maintenance is charged to the statement of comprehensive income in the year to
which it relates.

13
RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

e) Property, Plant and Equipment (continued)

Items of property & equipments are measured at cost less accumulated depreciation and any
accumulated impairment losses.

Depreciation is provided using the reducing balance method to write down the cost less estimated
residual value over the useful life of property & equipments. The following annual rates are used for the
depreciation of property & equipments.
Items Rates
Computers and equipment 37.5%
Furniture and fittings 12.5%
Motor vehicles 25.0%
The assets residual values and useful lives are reviewed, and adjusted if appropriate, at each statement
of financial position date.

Gains and losses on disposal of equipment are determined by reference to their carrying amount and are
taken into account in determining operating profit.

f) Impairment of Asset
At each reporting date, the company assesses whether there is any indication that any asset (or group of
related assets) may be impaired. If there is an indication of possible impairment, the recoverable amount
of any affected asset is estimated and compared with its carrying amount. If the estimated recoverable
amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an
impairment loss is recognised immediately in profit or loss.

If an impairment loss subsequently reverses, the carrying amount of the asset (or group of related
assets) is increased to the revised estimate of its recoverable amount (selling price less costs to complete
and sell, in the case of inventories), but not in excess of the amount that would have been determined
had no impairment loss been recognised for the asset (group of related assets) in prior years. A reversal
of an impairment loss is recognised immediately in profit or loss, this does not apply to impairment
losses allocated to goodwill, the reversal of which is prohibited by the standard.

g) Financial instruments

i) Initial measurement
Financial instruments are initially measured at the transaction price (this includes transaction cost
except in the initial measurement of financial assets and liabilities that will be measured at fair value
through profit or loss). If however the arrangement constitutes a financing transaction it is then
measured at the present value of the future payments, discounted at a market related interest rate.

ii) Trade and other receivables

Most sales are made on the basis of normal credit terms, and the receivables do not bear interest. Where
credit is extended beyond normal credit terms, receivables are measured at amortised cost using the
effective interest method. At the end of each reporting period, the carrying amounts of trade and other
receivables are reviewed to determine whether there is any objective evidence that the amounts are not
recoverable. If so, an impairment loss is recognised immediately in profit or loss.

14
RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)

iii) Trade and other payables

Trade and other payables are obligations on the basis of normal credit terms and do not bear interest.
Trade and other payables denominated in a foreign currency are translated into functional currency
using the exchange rate at the reporting date. Foreign exchange gains or losses are included in other
income or other expenses.

h) Cash and cash equivalents

For the purposes of the statement of cash flows, cash and cash equivalents comprise cash in hand and
deposits held at call with banks. Cash and cash equivalents are classified as loans and receivables.

i) Share capital
Ordinary shares are classified as equity.

j) Provisions and contingencies

Provisions are recognised when the company has an obligation at the reporting date as a result of a past
event, it is probable that the company will be required to transfer economic benefits in settlement and
the amount of the obligation can be estimated reliably. Contingent assets and contingent liabilities are
not recognised.

k) Comparatives
Where necessary, comparative figures have been adjusted to conform with changes in presentation in the
current year.

15
RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

NOTES TO THE FINANCIAL STATEMENTS

31.12.2023 31.12.2022
TSHS TSHS
2 ) Revenue
Sales turnover 11,300,000.00 12,320,000.00

Net sales 11,300,000.00 12,320,000.00

3 ) Direct Expenses
Clearing License & other fees 1,048,500.00 1,057,500.00
Custom bond insurance (CB11) 1,180,000.00 1,180,000.00
TAFFA subscription fees 521,850.00 497,000.00
TPA & TASAC subscription fees 345,450.00 329,000.00

Cost of Goods Sold 3,095,800.00 3,063,500.00

4 ) Administrative Cost
Accountancy & Audit fees 500,000.00 500,000.00
Legal consultancy charges 250,000.00 200,000.00
Transport and travelling charges 840,000.00 800,000.00
Fire and inspection fees 262,500.00 250,000.00
Postage, telephone and internet 762,300.00 726,000.00
Printing, stationery and secretarial fee 688,695.00 655,900.00
Business license fees 400,000.00 400,000.00
Electricity and water expenses 900,000.00 600,000.00
Cleaning & garbage collection expenses 600,000.00 600,000.00

5,203,495.00 4,731,900.00

5 ) Employment Expenses
Salaries and wages 7,200,000.00 7,200,000.00

7,200,000.00 7,200,000.00

6 ) Establishment Expenses
Office rental 3,000,000.00 3,000,000.00
Depreciation expenses 479,765.63 695,625.00

3,479,765.63 3,695,625.00

7 ) Finance Cost
Bank charges and commissions 0.00 2,000,000.00

0.00 2,000,000.00

16
RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

NOTES TO THE FINANCIAL STATEMENTS:

8) Schedule of Property, Plant & Equipments.

Furniture & Computer & TOTAL

Equipment Printers AMOUNTS
12.5% 37.5% TSHS

Balance as at 01 January 2023 1,260,000.00 859,375.00 2,119,375.00

Addition 0.00 0.00 0.00
Disposals 0.00 0.00 0.00
1,260,000.00 859,375.00 2,119,375.00
Depreciation
Charge for the year 157,500.00 322,265.63 479,765.63
NET BOOK VALUE
At 31 December 2023 1,102,500.00 537,109.38 1,639,609.38

Balance as at 1st January 2022 0.00 0.00 0.00

Addition 1,440,000.00 1,375,000.00 2,815,000.00
Disposals 0.00 0.00 0.00
1,440,000.00 1,375,000.00 2,815,000.00
Depreciation
Charge for the year 180,000.00 515,625.00 695,625.00
NET BOOK VALUE
At 31 December 2022 1,260,000.00 859,375.00 2,119,375.00

17
RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

31.12.2023 31.12.2022
TSHS TSHS

9 ) Cash & Cash Equivalents

Cash and Bank balances (559,695.00) 2,719,600.00

(559,695.00) 2,719,600.00

10 ) Authorised Share Capital

100 shares of TShs. 50,000/= each 5,000,000.00 5,000,000.00

5,000,000.00 5,000,000.00

Issued and Fully Paid up Share Capital

100 ordinary shares have been issued and fully paid up
5,000,000.00 5,000,000.00
5,000,000.00 5,000,000.00

11 ) Retained Earnings Statement

Net profit/(loss) after tax (7,679,060.63) (6,741,025.00)
Balance brought forward (6,741,025.00) 0.00
Retained earnings/(losses) (14,420,085.63) (6,741,025.00)

12 ) Trade and other payables

Trade payables 5,000,000.00 0.00
Accrued expenses and other payables 500,000.00 1,580,000.00
Retained earnings/(losses) 5,500,000.00 1,580,000.00

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RUAHA FREIGHT LIMITED
Annual Report and Financial Statements
For the Year Ending 31 December 2023

12 ) INCOME TAX COMPUTATION

31.12.2023 31.12.2022
Notes TSHS TSHS

Profit/(Loss) as per Accounts (7,679,060.63) (6,741,025.00)

Add back: Depreciation 479,765.63 695,625.00

(7,199,295.00) (6,045,400.00)

Less: Annual Allowance 13 479,765.63 695,625.00

Adjusted taxable profit (7,679,060.63) (6,741,025.00)

Less: Adjusted loss brought forward 0.00 0.00

Adjusted taxable profit/(loss) carried forward (7,679,060.63) (6,741,025.00)

Corporate tax 30% on taxable profit 0.00 0.00

POSITION OF TAXATION

Balance brought forward 0.00 0.00

Add: Corporate Tax as above 0.00 0.00
Previous years assessment 0.00 0.00

0.00 0.00
Less: Taxes paid
Provisiona tax paid for the year 0.00 0.00
Other taxes paid (previous years) 0.00 0.00
0.00 0.00

Tax payable/(repayable) 0.00 0.00

13 ) WEAR AND TEAR ALLOWANCE SCHEDULE

Class I Class III Total
37.5% 12.5% TSHS
COST
As at 01/01/2023 859,375.00 1,260,000.00 2,119,375.00
Additions 0.00 0.00 0.00
Disposal proceeds 0.00 0.00 0.00
859,375.00 1,260,000.00 2,119,375.00
Wear and tear allowance:-
Annual rate for the year 322,265.63 157,500.00 479,765.63

NET BOOK VALUE FOR 2023 537,109.38 1,102,500.00 1,639,609.38

As at 01/01/2022 0.00 0.00 0.00

Additions 1,375,000.00 1,440,000.00 2,815,000.00
Disposal proceeds 0.00 0.00 0.00
1,375,000.00 1,440,000.00 2,815,000.00
Wear and tear allowance:-
Annual rate for the year 515,625.00 180,000.00 695,625.00

NET BOOK VALUE FOR 2022 859,375.00 1,260,000.00 2,119,375.00

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