Cuba Jaya Berhad's Statement of Profit or Loss for the year ended 31 December 2019 are as follows: Cuba Jaya Berhad Statement of Profit or Loss for the year ended 31 December 2019 2019 RM Revenue 4,500,000 Cost of sales (2,250,000) Gross profit 2,250,000 Administrative expenses 715,000 Distribution cost 400,000 Operating profit 1,135,000 Finance cost (328,400) Investment income 254,900 Profit before tax 1,061,500 Tax expense (297,220) Profit after tax 764,280 Cuba Jaya Berhad Statement of Financial Position as at 31 December 2019 2019 RM Non-current assets Investments Property, plant & equipment RM 5,000,000 10,000,000 Current assets Cash in hand & at bank Account receivables Inventory (at 31 Dec 2019) Prepayments TOTAL ASSETS 250,000 180,000 380,000 150,000 960,000 15,960,000 Shareholders' Equity Share capital Retained earnings 9,500,000 1,520,000 11,020,000 Non-current liabilities 8.21% loan from Berjaya Bank 4,000,000 Current liabilities Account payables Accruals TOTAL EQUITY & LIABILITIES 840,000 100,000 940,000 15,960,000 Additional information: 1. All the sales are assumed to be on credit basis. 2. There are 360 working days in a year. 3. The opening inventory as at 1 January 2019 amounted to RM350,000 4. The opening balance for account receivables as at the beginning of the year is RM220,000. 5. Based on the total asset, only 50% is being utilized to generate income for the company. 6. The industry average data are given as follows: Ratio 1.50:1 0.80:1 collection 25 days No. Particulars 1. Current ratio 2. Acid test ratio 3. Account receivables period 4. Inventory turnover 5. Inventory turnover days 6. Total asset turnover 7. Gross profit margin 8. Net profit margin 9. Debt ratio 10. Times interest earned 5 times 90 days 2 times 40% 20% 35% 8 times point Based on your calculation of total asset turnover, choose the best indication for the results as compared to the industry average data.* The company's total asset is underutilize considering that only 50% is used to generate sales for the company. The company's total asset turnover is lower than industry average, which indicate better performance. The low total asset turnover means that the company's marketing & promotion activities are not aggressive enough. O None of the above is correct. Calculate the gross profit margin for Cuba Jaya Bhd. * point 25% 35% 50% 55% Calculate the net profit margin in Ringgit Malaysia of Cuba Jaya Bhd.* 1 point RM 0.17 RM 0.25 RM 0.19 RM 0.29