Subtotals are needed in both of our financial statements being the income statement and balance sheet. So my net interest income is going to be interest income less any interest expense. So we can sum the two of those up. I'm going to copy them across into column E because I'll be able to use them later on when I go forecasting. Total income then adds in any other sources of income.

Profit before tax from operating activities includes any operating expenses.

Profit before tax then includes your credit payment charges and any non-recurring items.

And then your net income takes off any tax. Now, you might notice here that PBT is negative. If your profit before tax is negative, then that means the company's loss making. So they are showing here a tax claim. They can actually get some tax back.

Now I've got everything into column E, I can copy all of my subtitles in column E all the way to the end of our forecast period in column J.

I now do my recurring net income. That's why I take the net income and I then pretend that the non-reoccurring item didn't happen. So I want to subtract off any expenses that are in there. If it's there as a negative, that means I will add back the expense. However, if that expense doesn't exist, that means my profit before tax goes up. Of course, my tax should go up as well. So I want to kind of add this back as it were but I want to add it back after tax. My marginal tax rate is up in my income statement assumptions.

And if I copy that to the right, I can now see that my net income, which was a loss of 49 is now only a loss of 41. That's my non-reoccurring 10.2 added back after tax is an eight.

I then copy that to the right to column J. Last up, I want the return on average equity. So I take my recurring net income. I then divide that by the average of my equity this year and the year before.

And in this period, it's a return of negative 9.4%.

We now go to the balance sheet. We need to make sure that that is balanced in the historical years.

Total up your assets, total up your liabilities and then total up your liabilities and equity.

Check that they do balance. So I take my liabilities and equity minus the assets and I have zeros. Now copy all of those subtotals to the right and our subtotals are now done.