Below is selected information from the comparative financial statements of Book Club Supplies Pty Ltd for the year ended 31 December, 2020:

	2020 $	2019 $
Cash assets	80,000	70,000
Accounts Receivable	65,000	70,000
Inventory	70,000	80,000
Total Assets	500,000	480,000
Current Liabilities	140,000	120,000
Non-Current Liabilities	120,000	140,000
Sales Revenue	250,000	240,000
Cost of Sales	115,000	120,000
Gross Profit	135,000	120,000
Other Expenses	51,000	53,000
Profit	84,000	67,000

Required:

a) Calculate the following ratios for the year ended 2020 (to 1 decimal place).

1. The inventory turnover ratio.

2. The debt ratio.

3. Quick ratio.

4. The receivables turnover ratio.

5. The profit margin ratio.

b) Analyse Book Club Supplies Pty Ltd liquidity for the year ended 2020.

part a)

	Ratio	Workings
1.
2.
3.
4.
5.

part b)