DR	CR
Capital		1 000
Motor expenses	15 200
Return Outward		1 350
Carriage outwards	1 200
Inventory 01.04.2016	25 800
Purchases	189 650
Debtors	56 400
Bank		84 170
Drawings	34 820
Sales		265 700
Return Inwards	760
Creditors		44 440
Carriage inwards	550
Motor Vehicles	120 500
Provision for doubtful debts		880
Provision for depreciation		47 340
Total	444 880	444 880

The above trial balance was extracted from the books of Manani Investment on 31 May 2017.

Inventory as at 31 May 2017 was valued $ 12 900

Ouestion 1

Prepare statement of comprehensive income and statement of financial position for the year ended 31 May 2017.

QUESTION 2

USE YOUR ANSWERS IN QUESTION 1 TO ANSWER THE FOLLOWING QUESTIONS:

Required:

Calculate the following ratios

a) Gross profit ratio

b) Net profit ratio

c) Current Ratio

d) Quick ratio (Acid test ratio)

e) Inventory turnover