John Company (Pty) Ltd Extracted the following Ratios from its books for the year 2020 together with the relevant industry averages.

\begin{tabular}{|l|l|c|} \hline \multicolumn{2}{|l|}{ RATIOS } \\ \hline & 2020 & \multicolumn{2}{l|}{} \\ \hline 1. Current Ratio & 1,9 & Industry average \\ \hline 2. Acid test ratio & 0,8 & 1 \\ \hline 3. Inventory Turnover & 4 times & 6 times \\ \hline 4. Debtors' collection period (days) & 51 days & 40 days \\ \hline 5 Creditors payment period (days) & 61 days & 50 days \\ \hline & & \\ \hline \end{tabular} 1.For each of the above five ratios, answer the following: a. what does the ratio measure and (8 marks) state whether there is an improvement or decline in the ratio in comparison with the industry average ( 2,5 marks)