Presented below are the set of Financial statement of CADBURY NIGERIA PLC for nine months ended 30th September 2022.

Required :

Your Board of Director require your analysis of the company to explore the possibility of taking over the company.

Required :

Calculate the following ratio to determine the viability of the company for 2022 and 2021 :

Determine :

Profit margin

Operating overheads

Break even point (BEP)

Safety margin of the companys operation

Degree of Operating leverage (DOL)

Degree of Financial leverage (DFL)

Return on Equity (ROE)

Return on Assets (ROA)

Is the company in a good financial position to be taken over ?

Based on the share price below determine the Price Earning ratio (PER) of the company. Is the PER reflecting a fair value of the share ?

What is the market capitalisation of the company now ? Is it a fair value of the company ?

If your company have been offered to acquire 60% of shares in the company at N 15.00, is it a reasonable price ?