1. XYZ Ltd is listed on the London Stock Exchange. On 30^th June the market price for each its one million shares was 2.50. The companys profit after tax was 600,000 and the directors had paid dividends of 40 pence per share. Based on data calculate:

a. Dividend Yield

b. Dividend Payout Ratio

c. Price/Earnings (P/E) Ratio

2. A product is purchased by retail firm on five separate occasions:

Dates	unit	Unit price
2 January	4,000	$3.1
2 March	3,000	$3.5
2 May	5,000	$3.8
2 July	5,000	$4.2
2 September	7,000	$4.6

Company have two options of method to calculate inventory, that are LIFO, and Average.

a) Calculate the cost of 25,000 units sold for each method.

b) If the company can sell the product on price of $6.5 per units. Calculate the gross profit of the company for every method of inventory.

c) Which method is the best for the company?