You are given the following information in relation to Olivet Ltd:

You are required to comment on the financial position of Olivet Ltd as at 20X5. Calculate any ratios you feel necessary.

Transcribed Image Text:

PROFIT AND LOSS ACCOUNTS FOR 20X4 AND 20X5 20X4 20X5 Sales Cost of sales Expenses 100,000 100,000 50,000 60,000 50,000 40,000 30,000 30,000 20,000 10,000 Dividends 10,000 10,000 10,000 Retained profits b/f 2,500 12,500 12,500 12,500