IDG has the following ratios based on its published accounts for the previous year, and also the latest

industry average ratios:IDG Industry

$302023$ average

$17\%19\%$

Profit$/$sales $4\%5\%$

Asset turnover $54$

ratio $32$

ratio $1\mathrm{.}51$

Gross margin $30\%35\%$

period $40$ days $52$ days

payment period $37$ days $49$ days

turnover $1418$

Gearing

Required:

$26\%33\%)$ Comment on the performance of the IDG company in comparison to the industry $(05$ Marks$)$

b$)$ Write a report to your board of directors analyzing the performance of IDG, comparing the results

against the previous year and against the industry average $(15$ Marks$)$