LutoSave Search A Saubhagya Karakheti SK 6 - 0 Question 2 Malch Lland Buxud bout began operations or 1 January 2020 - References Mailings Ruvi View Help Table Design File: Honte Insert Design Layout Layout Share Comments Question 2 Match Ltd and Box Ltd both began operations on 1 January 2020. For illustrative purposes, assume that att Identical and that their operations during 2020 were also identical. The only difference between the two companies is as can be seen below. (16 marks in total, 1 mark each box) ner Property blant and quien Requirement: Calculate and interpret the following ratios for each company: Box LIS Wolgd were cost Dirinishi ro balance depreciation FFO Straight line depreciation Match Ltd Box Ltd Summary financial information for both companies at the end of 2020 is presented below. i. II. iii. STATEMENT OF PROFIT OR LOSS for the year ended 31 December 2000 iv. return on asscts return on ordinary equity profit margin current ratio receivables turnover inventory turnover debt ratio. Match Ltd Box Ltd vi. vil. Revenues Lass: Cast af sales GROSS PROFIT Other Bapers PROFIT $250 000 139 000 112 000 43000 3250000 150000 100000 53000 3 47 000 $ 2002 "Includes finance costs of $1. Depreciation expense was $100% for Match and $20000 for Her Lud. Assume no income STATEMENT OF FINANCIAL POSITION as at 31 December 2020 Box Ltd Cash Receivables Inventories Property, plant and equipment (net) Match Ltd $ 20000 50000 52000 55000 177000 $ 20000 50000 40000 45000 155 000 Current liabilities Non-current abilities Equity 30000 45000 102000 $177000 30 000 45000 80 000 $155000 Page 2 of 2 Svoru! Foglish Cra 3 1993