calculate the following ratios for 2015 and 2016 1. gross profit:sales 2. inventory turnover 3. net prfit:sales 4. quick (acid test) 5. working capital 6. net profit:capital employed state the possible reasons for and significance of changes in the ratios shown by your calculator

The summarized accounts of Hope (eternal Springs) Ltd for the years 2015 and 2016 are given below. Statements of Profit or Loss for the years ending 31 December 2015 2016 $000 $000 5000 S000 Sales 200 280 (150) Less Cost of Sales Gross profit Less Administrative expense Loan note interest Copco (38) Net Profit Statement of Financial Position as at 31 December 2016 2015 $000 $000 $000 Non-Current assets at cost less depreciation $000 140 110 Current assets Inventory Accounts receivable Bank Total assets Current liabilities Accounts payable Bank Non-Current Liabilities 8% loan notes Total Liabilities Net Assets Equity Ordinary share capital Retained earnings Total Equity Inventory at 1 January 2015 was $50,000.00 Required: Calculate the following ratios for 2015 and 2016: 1. Gross profit:sales 2. Inventory turnover 3. Net profit:sales 4. Quick (acid test) 5. Working capital 6. Net profit.capital employed State the possible reasons for and significance of changes in the ratios shown by your calculations