1. A financial report card on the company, Oramed Pharmaceuticals (symbol: ORMP). (15 Marks) www.sec.gov
2. Assume that in 2021, the company is now in production of an insulin pill and that its product inventory is progressively becoming more expensive over the next 3 years; thereafter (ie., 4 years on), it is expected that costs will be falling consistently.It is expected that the company will be able to sell most of its inventory for a sizeable profit over the next few years.

In addition, in an effort to ramp up production of its insulin pill, it is acquiring additional plant capacity at a cost of $10,000,000.The plant will be ready for use July 1, 2021 and last 10 years with no residual at the end of its life.

Oramed Pharmaceuticals is under pressure by shareholders to increase profits in the calander year of 2021 and 2022.Given the context of your answer in Part A, explain and quantify, where possible, what you would do, as CFO, of the company.(10 Marks)

As of August 31, 2020 2019* 2018 2017 2016 in thousands of dollars) Balance Sheet Data: Cash, cash equivalents, short-term deposits, restricted cash and marketable securities 39,900 $ 32,282 $ 30,463 $ 20,138 $ 31,032 Other current assets 611 1,042 574 159 198 Long-term deposits and other assets 2 13,575 16,262 11,070 Long-term marketable securities 3.928 1,295 2,785 2,151 530 Total assets 44,633 34,663 47,397 38,712 42,830 Current liabilities 4,536 5,308 4,553 5,165 3,621 Long-term liabilities 7,218 9,962 11,732 14,309 13,019 Stockholders' equity 32,879 19,393 31,112 19,238 26,190For the year ended August 31, 2020 2019* 2018 2017 2016 (in thousands except share and per share data) Statements of Comprehensive Loss: Revenues S 2,710 $ 2,703 S 2.449 2,456 $ 641 Cost of revenues (income) 90 (86) 187 190 Research and development expenses 10,235 13,522 11,979 10,281 7,709 General and administrative expenses 4,232 3,722 4,083 2,759 2,452 Financial income 690 1,061 903 792 474 Financial expenses 444 485 103 101 93 Loss before taxes on income 11,511 14,055 12,727 10,080 9,629 Taxes on income 300 400 1,335 Net loss for the year 11,511 14,355 12,727 10,480 10,964 Loss per common share - basic and diluted 0.56 0.82 0.86 0.79 0.87 Weighted average common shares outstanding 20,532,347 17,454,489 14,882,356 13,309,372 12,624,356