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3. The following is the information of Muscat LLC, Prepare the vertical analysis from the income statement and Balance sheet. 4. Income statement Income Statement

3. The following is the information of Muscat LLC, Prepare the vertical analysis from the income statement and Balance sheet. 4. Income statement Income Statement 2019 2020 Sales Revenue 254,000 325,000 COGS 185,000 145,000 Gross Profit 69,000 180,000 Salaries 21,000 94,000 Depreciation 2,500 15,000 Maintenance 4,500 45,000 Operating expenses 28,000 154,000 Operating Profit 41,000 26,000 Interest expense 4,050 2,550 Profit before tax 36,950 23,450 5. Balance Sheet 2019 2020 2019 2020 Assets Current liabilities Current assets Accounts payable 20000 21500 Cash 30,000 25,000 Salaries payable 24500 10000 Inventory 8,592 5,100 Non-current liabilities Non-current assets Bonds 22,500 11,200 Land 40,000 44,000 Stockolders' equity Net fixed assets 60,000 46,000 Common stock 71,592 55,000 P&L A/c 22,500 11,200 Total assets 138,592 120,100 Total liabilities & Equity 138,592 120,100 Calculate the Following Ratios: 1) Current Ratio 4) Days Inventory 2) operating profit margin 3) Inventory Turnover Ratio 5) Debt to Equity Ratio 6) Return on Equity

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