NORBROOK RETAILERS LIMITED Background Norbrook Retailers Limited (NRL) is a clothing store located in Portmore. The company was originally a family owned company that was incorporated six (6) years ago. It grew rapidly over this period and became a Public Limited company two years ago. CRL listed on the Jamaica Stock Exchange on January 2,2014. Below are the financials of the company for the years 2017 and 2018 Norbrook Retailers Limited Statement of Comprehensive Income for the years ended 31 December : 2017 2018 $ $ Sales Revenue 370,666,720 410,760,560 Cost of Sales (340,450,450) (370,560,200) Gross Profit 30,216,270 40,200,360 Other Revenues 7,140,015 6,514,001 Total Gross Revenue 37,356,285 46,714,361 Administrative Expenses 17,000,040 19,546,002 Selling and Distribution 12,067,000 14,356,700 Finance Cost 1,571,050 1,789,060 Net Profit before taxation 6,718,195 11,022,599 Taxation 2,015,459 3,306,780 Net Profit after taxation 4,702,736 7,715,819 Norbrook Retailers Limited Statement of Financial Position as at 31 December : 2017 2018 Non Current Assets $ $ Property,Plant and Equipment 15,600,700 22,200,700 Current Assets Inventories 24,500,600 28,600,790 Trade Receivables 7,890,000 9,340,060 Cash and Cash equivalents 2,450,000 1,678,000 34,840,600 39,618,850 50,441,300 61,819,550 EQUITY & LIABILITIES Equity Ordinary Shares of $2 each 4,000,000 4,000,000 Retained Earnings 14,569,450 18,900,705 18,569,450 22,900,705 Non Current Liabilities %5 Debentures 20,651,150 18,628,890 Bank Loans 4,000,000 11,000,000 24,651,150 29,628,890 Current Liabilities Trade Payables 4,250,700 6,710,945 Acrued Expenses 670,000 789,560 Taxation 2,300,000 1,789,450 7,220,700 9,289,955 50,441,300 61,819,550 Notes to the Financial Statements: 1. Average stock held for 2017 was $26,000,000 and 2018: $23,500,000 2. Dividends of 10% and 12% on the ordinary shares was declared and paid in 2017 and 2018 respectively 3. The market prices per share at each year end was as follows:2017, $4.50 and 2018, $5.20 The Plan The Company is considering opening a new store in Mandeville. The directors of the company have contracted you do an assessment of the financial performance of the company over the two (2) year period 2017 to 2018. REQUIRED: A) Calculate appropriate ratios for the company in the areas of Liquidity, Efficiency, Solvency, Profitability, and Market Prospects (24 marks)