QUESTION (19 marts) (23 minutes) Commence this question on a new separate page PC Manufacturers, a manufacturing entity, has applied for a loan from a bank to finance the purchase of a factory building The bank manager has requested certain financial ratios as part of the information required to determine whether PC Manufacturers is legible for a loan PC MANUFACTURERS ABBREVIATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME FOR THE YEAR ENDED 29 FEBRUARY 2012 R Revenue 214040 Cost of sales (53 280) Inventory (01/03/2011) 22 700 Purchases (All on credit) 61 600 Inventory (2002/2012) 310201 Gross profit 160 760 Distribution, administrative and other expenses (109 7603 Finance costs (5000) Profit for the year 45 000 Other comprehensive income for the year Profit Total comprehensive income for the year 45 000 PC MANUFACTURERS STATEMENT OF FINANCIAL POSITION AS AT 29 FEBRUARY 2012 ASSETS R Non-current assets 247 300 Property plant and equipment 247.300 Current assets 63 700 Inventores 24000 Trade and other receivables 36 500 Prepayments Total assets 311 000 QUESTION 4 continued REQUIRED Note: All the formulas must be given and round answers off to 2 decimals Calculate the following ratios 20 February 2012 41 Gross profit percentage 42 Profit for the year percentage Return on assets (profit for the year) Inventory holding penod 45 Aod testato (3) (330 (3% 19 [191 NB: Show all calculations EQUITY AND LIABILITIES Equity Capital Total liabilities Non-current liabilities Long-term borrowings (Mortgage) Current liabilities Trade and other payables Other financat labites Bank overdraft Total equity and liabilities 214600 214 600 96 400 72 000 72.000 24 400 21700 22.700 311 000