2 (10 marks: 18 minutes) Siwe Ltd earns an annual revenue (sales) of R800 000. The business applies a constant mark up on cost of 25%. A half of all sales and purchases are on credit. The following amounts are maintained at a constant level throughout the year: Inventory Trade receivables Bank (overdraft) Trade payables R 100 000 140 000 50 000 40 000 REQUIRED: (a) Assuming that there are 365 days in the year, and no items of current assets and current liabilities other than in the list above, compute the following ratios for Siwe Ltd: Gross margin. Current ratio. Inventory days on hand. Debtors collection period in days. Creditors payment period in days. (8) (b) Use the ratios computed in Part (a), to provide a brief interpretation on the financial performance and position of Siwe Ltd. (2)