1) What is a firm's net working capital, and what does it tell you about the liquidity of the firm? (1 mark) 2) If you were to consider starting up a lawn care business for the summer, what type of business organization might you use and why? (1 mark) 3) At the end of its third year of operations, XYZ manufacturing company had S 4,500,000 in revenues, $ 3,375,000 as cost of goods sold, S 450,000 in operating expenses, and had a tax liability equal to 35%. What is the net income of the firm for the year? (1 mark) 4) The income statement balances of ABC Ltd extracted at 31 December 2015 were as follows: (1 mark) Interest received Accountancy and audit fees Interest paid Office electricity Sales revenue Office rent Advertising and promotion Rents received Telephone Selling costs 40 1,08 45 21 29 54 Other office utilities Cost of goods sold Administrative salaries Sales department salaries Depreciation on office equipment and furnishings Prepare an income statement to the pre-tax profit level for Archibald Ltd for the year to 31 24 553 72 89 52 December 2015