1. Choose and calculate eight ratios that would be helpful in assessing the performance of AlHusan Company. Use end-of-year values and calculate ratios for both 2018 and 2019. (8 marks)
2. Using the ratios calculated in (A) and any others you consider helpful, comment on the companys performance. (2 marks)
3. Compute the number of days in the cash conversion cycle for each year. (4 marks)
4. Did the company manage cash more effectively in the current year? Explain. (1 mark)

2013 OMR 2019 OMR 1. The following financial statements relate to Al-Haan Commy, which operates as carpet business: Net sales 2.240.000 2.681 000 (2.272.000 Assets Balance sheet as at 31 March, 2019 2018 2019 OMR OMR 409,000 Coat of good old (1,745 000) Gruss profil 495,000 Operating expenses (252.000) Operating profit 143,000 Interest paid (18,000) (362,000) Non current assets Land and building 381.000 Fixtures and 129.000 427,000 160,000 47,000 587,000 (32.000) 15,000 225,000 Profit before taxation Taxatiom 406,000 | (6) UN 279.000 (4.000) 11,000 Nel Profil 165,000 Nota 0 679,000 1.266.000 300.000 1. The market value of the shares of the business at the end of the reporting period was OMR 2.50 for 2018 and OMR 1.50 for 2019. 2. All sales and parchases are made on credit 3. The cost of goods sold figure can be analyzed as follows: 2018 2019 OMR OMR Opening inventory 241,000 300 000 Purchases 1,804,000 2.378,000 2,0-15,000 2,678,000 Closing (300,000) (406,000) Vine Cost of poods sold 1,745,000 2,272,000 $10,000 Current assets Inu 300,000 Account 240 000 receivables Cash ar bank 4,000 511.000 Total 1,054,000 Equity and liabilities Equity OMRO 50 ordinary 300.000 shares General reserve 263.000 563.000 Non-current liabilities Long-term bank 200 000 loan Current liabilities Account payables 261,000 Bank overdraft 30,000 291,000 Total quity and 1,054.000 liabilities 234.000 534,000 300,000 354,000 78 000 At 31 March 2017, the trade receivables stood at OMR 223,000 and the trade payables at OMR. 183,000 5. A dividend of OMR 40,000 had been paid to the shareholders in respect of escl of the years Required: 432,000 1,266,000 Income statement for the year ended 31 March, 2019 0 1. The following financial statements relate to Al-Husan Company, which operates a wholesale carpet business: Balance sheet as at 31 March, 2019 Assets 2018 2019 OMR OMR Non-current assets Land and building 381.000 427,000 Fixtures and 129,000 160.000 fittings 510,000 587,000 Current assets Inventories 300.000 406,000 Account 240,000 273.000 receivables Cash at bank 4,000 544,000 679,000 Total assets 1,054,000 1.266,000 Equity and liabilities Equity OMR 0.50 ordinary 300,000 300.000 shares General reserve 263,000 234.000 563.000 534,000 Non-current liabilities Long-term bank 200,000 300.000 loan Current liabilities Account payables 261.000 354,000 Bank overdran 30,000 78,000 291,000 432,000 Total equity and 1,054,000 1.266,000 liabilities Income statement for the year ended 31 March, 2019 2018 2019 OMR OMR Net sales 2.240,000 2,681,000 Cost of goods sold (1,745,000) (2,272,000) Gross profit 495,000 409,000 Operating expenses (252,000) (362,000) Operating profit 143,000 47,000 Interest paid (18,000) (32,000) Profit before 225,000 15,000 taxation Taxation (60,000) (4,000) Net Profit 165,000 11,000 Notes: 1. The market value of the shares of the business at the end of the reporting period was OMR 2.50 for 2018 and OMR 1.50 for 2019. 2. All sales and purchases are made on credit. 3. The cost of goods sold figure can be analyzed as follows: 2018 2019 OMR OMR Opening inventory 241,000 300,000 Purchases 1,804,000 2,378,000 2,045,000 2,678,000 Closing (300,000) (406,000) inventories Cost of goods sold 1,745,000 2,272,000 4. At 31 March 2017, the trade receivables stood at OMR 223,000 and the trade payables at OMR 183,000. 5. A dividend of OMR 40,000 had been paid to the shareholders in respect of each of the years