1. Financial Statement Analysis: 20 marks October Festival Ltd reports the following information for the year ended 30 September 2017: $'000 Total assets Profit after tax Current liabilities Non-current liabilities Interest expense Interest income 1,920 65 570 830 160 110 Tax expense 45 Required: (a)From the information, calculate and interpret the following ratios: i. Debt to equity ratio (round to two decimal places) ii. Interest coverage ratio (round to the nearest whole number) (8 marks) (b)This company needs to raise more capital or obtain more financing so that they can buy a venue to host the October Festival. Given your knowledge and answers in part (a): i. List two options for October Festival Ltd to fund this investment. (1 mark) ii. Discuss which option you think October Festival Ltd should chose to fund this (2 marks) (4 marks in a maximum of 30 lines) investment. (C)Explain why ratios are useful and provide an example of why they are useful