Answer all the questions. Question 1: Explain the importance of analyzing Financial Statements through Ratios. Question 2: If you plan to invest $7000 annually for 5 years and the discount rate is 10%. Required: i) Calculate what is the future value? Question 3: ii) Briefly explain the time value of money. Following information is given of ABC Ltd. Cash Outflow $150,000 Annual Cash inflow after depreciation First 4 years $25,000 Next 6 years $10,000 Estimated life 10 years Salvage Value $15,000 Required: i) Calculate Payback period Question 4: Albert Ltd sells goods on cash as well as credit. The following particulars are extracted from their books of account. Total Gross sales Cash sales (included in above) Sales returns Accounts Receivable Accounts Payable $100,000 $ 20,000 $7,000 $ 11,000 $ 10,000 Calculate: Accounts Receivable Turnover and Average Collection period ratios.