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can you please help me answer this question QUESTION THREE [25) The following information was selectively extracted from the accounting records of Hoskin Ltd as
can you please help me answer this question
QUESTION THREE [25) The following information was selectively extracted from the accounting records of Hoskin Ltd as at 29 February 2020 (the end of their financial year): 2020(R) 2019(R) Sales (50% on credit) Cost of Sales (B0% of goods purchased on credit) Net Income after tax Tangible Assets Inventory Receivables Cash Payables Loans at 9% p.a. Share Capital (500 000 ordinary shares at R2 each Retained Income Share premium NB: a Shares are currently trading at R4 10 per share. 2 200 000 1.200 000 240 000 1 500 000 200 000 100 000 50 000 250 000 210 000 1 000 000 250 000 140 000 1 470 000 300 000 220 000 620 000 410 000 65 000 1 000 000 230 000 140 000 (5) 3.2 Calcutate: 3.1 The debtors average collection period and comment. (Last year was 37 days) Note: Debtors are given 30 days net to settle their accounts. The creditors payment period and comment (Last year was 88 days - All creditors accounts are 90 days less 2%). 3.3 The price to earings ratio for 2020 and explain the significance of this ratio 3.4 The debt equity ratio and explain its significance to decision makers. QUESTION FOUR (5) (9) 6) 1251Step by Step Solution
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