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Below are extract of financial information of FIT Bhd. Using the information given and vertical analysis, analyse information to detect any red flags and likelihood

Below are extract of financial information of FIT Bhd. Using the information given and vertical analysis, analyse information to detect any red flags and likelihood of fraud.

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2015 2016 2017 2018 2019 RM'000 RM'000 RM'000 RM'000 RM'000 Revenue 13,289 20,273 31,260 40, 112 100,789 Cost of sales 11,569 19,021 30,288 39,310 98,836 Gross profit 1,720 1,252 972 802 1,953 Other expenses 261 198 210 117 130 Net profit 1,459 1,054 762 685 1,823 Inventories 17,529 18,260 17,645 19,620 35,600 Trade receivables 20,530 29,300 24,630 18,330 43,296 Cash and bank balances 12,994 10,761 11,560 12,560 13,600

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