Cumi Ltd. and Ciki Ltd. are both computer component manufacturers in Longford. You are provided with the following summarized information in relation to both companies. 1,000 Income statements for year ended 31 March 2018 Cumi Ltd. Ciki Ltd. AED'000 AED'000 Revenue 1,500 2,000 Cost of sales 1.600 Gross profit 500 400 Operating expenses 150 200 Operating profit 350 200 Interest on debentures 100 50 Profit before tax 250 150 Tax 50 30 Profit after tax 200 120 Dividends 70 100 Retained profits 20 130 Balance sheets as at 31 March 2018 Cumi Ltd. AED'000 AED'000 Ciki Ltd. AED'000 AED'000 Non-current assets Machinery at cost Less Depreciation 4,000 1,000 4,830 3,500 3,000 1,330 Buildings at cost Less Depreciation 3,000 1,140 2,200 600 1,860 1,600 600 Motors vehicles at cost 800 Less Depreciation 350 550 450 5,310 - 50 2,980 Current Assets Inventory Trade receivables Bank 150 160 240 330 370 550 5.860 700 3.680 Equity and Liabilities Issued equity shares Retained earnings 3,000 1,600 4,600 2,000 550 2,550 Non-current liabilities 10% Debentures 1,000 500 Current liabilities Dividends Bank overdraft Trade payables 70 50 140 100 220 310 260 5.860 630 3.680 2 Required: 1) Calculate the following ratios: Cumi Ltd. Ciki Ltd. i. Return on capital employed ii. Gross profit margin iii. Profit margin iv. Current ratio v. Acid test ratio vi. Asset turnover vii. Inventory turnover viii. Inventory days ix. Debtors days x. Creditors days xi. Debt ratio xii. Gearing ratio (debt to equity ratio) xiii. Interest coverage 2) Comment on the performance of both companies in terms of profitability and liquidity, using the ratios that you calculated and any other relevant information in the