Below are the financial ratios of Miller Ltd. for 2020 and 2021 along with industry standard ratios.

	2021	2020	Industry
Profit margin	11%	10%	9%
Receivables turnover	12.4X	14.3X	13.5X
Inventory turnover	9.0X	8.5X	8.3X
Current ratio	1.8	1.5	1.4
Capital asset turnover	14X	13X	8X
Times interest earned	3X	4X	5X
Debt to total assets	34%	32%	28%
Return on assets	17%	15%	10%
Return on equity	21%	20%	18%

Required: Use the above ratios to answer the following:

a) Comment on Millers profitability, with reference to one of the above ratios. (2 marks)

b) Miller wants a 10-year loan, and they have approached you, a bank loans officer. What answer would you give them? Use two of the above ratios to briefly explain your answer. (3 marks)

c) Would you buy shares in Miller? Refer to the most important ratio when providing your answer. (2 marks)

d) Miller wants you to sell them inventory on credit, with terms n/60 (ie 60 days to pay). What would your answer be? Refer to the most important ratio when providing your answer. (2 marks)