John Taylor, CFO of CiM Corporation, is confident about the company's financial position, citing steady sales and profitability growth. He has implemented a policy to improve liquidity by deferring vendor payments, reducing the cash conversion cycle. CiM plans to present financial results to the board and enlist Karla Hester to work on the numbers. However, a conversation with supplier owner Sheila Roberts led to cashflow issues and urgent payment needs. CiM has increased its vendor payment policy to $8\mathrm{.}5$ days, a $4\mathrm{.}9-$day increase from $4\mathrm{.}5$ days, to improve cash flow, reduce net working capital, and preserve operational cash flow. The policy also allows vendors to receive working capital financing from DJX Financial without renegotiating agreements. CiM plans to pay bills more slowly and collaborate with DJX Financial for improved cash flow timing.

Initially, the policy was minimal, leading to supply chain and quality issues. Two of Karla's colleagues left CiM due to stress and a negative work environment. The financing solution through DJX Financial was enthusiastic, but vendors were not appreciative. Small vendors struggled to get credit approval, and those granted were surprised by high costs. The company's policy to improve liquidity, particularly cash management, by extending vendor payment terms led to ethical dilemmas, straining relationships, employee stress, and turnover, causing a negative work environment and potential cultural issues. The policy also impacted the local community, generating negative feedback from customers due to supply chain disruptions and quality issues, and extended beyond the company.

Question: Analyze the results of the implemented policy against the given report income statement, balance sheet and liquidity ratio?

To compute Profitability ratio?

What are the alternative courses of action to improve the implemented policy considering the financial performances of CIM?