please do questions 2 ,3,4

this is Q3 form assignment 1

this is Q4 from assignment 1

Company Corporation 2019 2020 Cash 400 500 Cost of Goods Sold 600 700 Debt (LT) 5000 5300 Depreciation 300 300 Dividends 325 350 Interest Expense 400 450 Inventories 1500 1800 Investments (ST) 1250 1350 Loans from Bank (ST) 450 450 Payables 3000 2600 Property, Plant, Equipment 4800 5450 Receivables 600 550 Research and Development 250 250 Revenues 6900 7350 Salaries 3000 3000 Sales and Distribution 400 350 Shareholders' Equity 100 1300 * All values given are in 1000s of dollars. Asset values are net of depreciation. 1) On average, how many times during 2020 did The Company sell its inventory? Based on your answer, and without really knowing anything about The Company's line of business, what impression does your answer give you of the company's efficiency? 2) Compute The Company's profit margin for 2020. In what sense is profit margin a measure of The Company's overall efficiency? 3) Compute NOPAT for The Company for both 2019 and 2020, using answers to Q3 and Q4 on Assignment #1 to do so 4) Consider the Frooman Ratio, which is NOPAT./Revenues. What is the difference in The Company's FR between the two years? Has it changed during the two years? Finally, what family of ratios does the FR belong to? 3. Calculation of net working capital in 2020: Networking capital = Total current assets - Total current liability Total current assets for 2020 is =Cash + Receivable + inventories + investment (short term) $500 + $550+ $1800 +$1350= $4200 Total current liability for 2020 is = payables +loan = $2600 +450= $3050 Net working capital= $4200-$3050= $1150 B. Revised net working capital after new short-term loan is = $4200-(83050 + $1000) = $150 Borrowing money is discharged payable is not a good idea as it affects the liquidity of the company. The introduction of new debt is always not insolvency. Currently the firm has sufficient current assets to pay off the payables, hence instead of borrowing money the company should use its current assets to pay off the payables. 4. Calculation of corporate taxes Descriptio 2019 Earning before tax 1950000 Federal tax first 500000 500000 Provincial tax on first 5000000 at 3.5% 17,500 1950000 - 500000 at 15% 217500 Provinical tax of remaning 1450000 at 16% 232,000 Earning after tax 1433,000 li calculation of corporate taxes of 2020 Description Earning before tax 2300000 Less: federal tax on first 500,000 50000 At 10% Provencial tax on first 500,000 at 3.5% 17,500 Federal tax on remaning (2300,000 - 500,000-1800,000 at 15% 270,000 Provancial tax on remaning 1800,000 at 16% 288,000 Earning after taxes 1674500 Total taxes of 2019-50,000+ 17,500+ 217,500+ 232,000-$517,000 Total taxes of 2020-50,000+ 17,500+ 210,000+288,000-5625,500