3 Use the information provided below to answer the following questions: 3.1 3.2 Calculate the following ratios for 2021 (expressed to two decimal places). The ratios for 2020 are provided in brackets. Inventory turnover (3.79 times) Creditors payment period (48.67 days) Current ratio (1.56:1) Gross margin (45.33%) Debt to assets (54.49%) Earnings per share (36.4 cents) Dividends per share (30 cents) Use your answers from question 3.1 to comment on the following: The operational effectiveness of the company The liquidity of the company The profitability of the company (from the shareholders' point of view) INFORMATION Excerpts of the financial statements of Igwe Limited for 2021 are provided below. IGWE LIMITED STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER 2021 Sales Cost of sales Operating profit Interest expense Profit before tax Profit after tax STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER 2021 Non-current assets Inventories R 3 200 000 (1 600 000) 600 000 (72 000) 528 000 370 000 R 1 628 000 464 000 578 000 Accounts receivable Cash and cash equivalents 234 000 Equity 1 306 000 646 000 Non-current liabilities Accounts payable Other current liabilities Note: 216 000 736 000 Inventories on 31 December 2020 amounted to R400 000. All purchases and sales of inventories are on credit. The number of shares in issue on 31 December 2021 was 500 000. Other current liabilities include the final dividend of R300 000 that is payable to shareholders. No interim dividends were declared