A. Referring to the Income Statement and Balance Sheet of KML Trading Ltd calculate the following ratios for the year 2021, showing the formulas and your workings: (round to two decimal places) (16 Marks) KML Trading Ltd Income Statement for the year ended 30 June 2020 $ 2021 S $755,000 $700,000 Income Credit sales less COGS Gross Profit 454,000 $301,000 435,000 $265,000 Expenses Wares and Salaries Interest Expenses Insurance Expense Total Expenses 115,600 5,000 16,000 133,800 6,800 17,000 136,600 157,600 Net Profit $164,400 $107,400 KML Trading Ltd Balance Sheet as at 30 lune 2020 $ 2021 $ Assets Current Assets Cash Prepaid Insurance Accounts Receivable Inventory 22,000 17 000 92,000 74,000 19,000 14,000 74,000 60,000 205,000 167,000 323000 $528,000 283,000 $450,000 Non-Current Assets Motor Vehicle Total Assets Liabilities Current Liabilities Accounts Payable Income Tax Payable 122,000 25,000 110,000 22,000 147.000 $132,000 Non Current Liabilities Long Term Bank Loan Total Liabilities 125,000 $272.000 90,000 $222.000 Net Assets $256.000 $220,000 Owners Equity Capital Profit Total Equity 91,600 164,400 $256.000 120,600 107,400 $228,000 1 5 / 5 100% B. Analyse the company's: i. profitability for the year 2020 and 2021 ii. liquidity and activity position for the year 2021