Q1. Calculate Working Capital Cycle in days for 2020 and 2019 and analyze whether it has improved or deteriorated in comparison with last year.

Q2. Calculate Inventory holding period in days for 2020 and 2019 and analyze whether it has improved or deteriorated in comparison with last year.

Q3. Calculate Debt Ratio for 2020 and 2019 and analyze whether it has improved or deteriorated in comparison with last year.

Q4. Calculate Cost of sales/Sales ratio for 2020 and 2019 and analyze whether it has improved or deteriorated in comparison with last year.

Income statements for the years ended 30 September 2020 2019 Rs.000 Rs.000 Revenue 2,100 1,600 Cost of sales (900) (650) Gross profit Salaries Expense Administrative expenses Profit before Interest & tax Interest Expense Profit before tax Income tax expense Profit for the period 1,200 950 (250) (175) (450) (350) 500 425 (25) (20) 475 405 (120) (100) 355 305 Statements of financial position as of 30 September 2020 2019 2018 Rs.000 Rs.000 Rs.000 Assets Non-current assets Property, plant and equipment 950 703 750 Current assets Prepaid Rent 40 35 50 Inventories 525 450 400 Trade receivables 61 150 100 Cash 175 220 155 801 855 705 Total assets 1,751 1,558 1,455 Equity and liabilities Equity Ordinary shares 10,000 shares Rs 4 Preference shares 500 shares Retained earnings 150 150 150 50 50 50 310 736 936 513 713 510 Preference dividend at Rs 4 l-per share 660 500 600 Non Current liabilities Bank loan payable Current liabilities Salaries payable Trade payables Current tax payable Use averages for ratios wherever required. 40 30 60 25 175 160 90 140 125 155 345 345 1,751 1,558 1,455 Total equity and liabilities