Additional information:

Required $($Round your calculations to three decimal places$)$:

Calculate the quick ratio for $2021$ and explain its significance in terms of LFL$\text{'}$s liquidity position at

December $31,2021.(3$ marks$)$

Assume that you are interested in buying common shares in LFL$.$

a$.$ Identify three ratios that would be most useful for your investment decision, and explain why you

chose these ratios. $(3$ marks$)$

b$.$ Calculate the ratios that you identified above for each of the years $2021$ and $2020.(6$ marks$)$

c$.$ Would you purchase shares in LFL based on the calculated ratios? Explain. $(2$ marks$)$