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QUESTION 2 ( 20 Marks) REQUIRED Use the information provided in Question 1 to answer the following questions: 2.1 Calculate the following ratios for 2022
QUESTION 2 ( 20 Marks) REQUIRED Use the information provided in Question 1 to answer the following questions: 2.1 Calculate the following ratios for 2022 only. Express the answers to two decimal places 21.1 Net profit margin 2.1.2 Average collection period (Use 360 days.) 2.1 .3 Inventory tumover 2.1.4 Acid-test ratio 2.1.5 Debt to assets 2.1.6 Return on equity 2.1.7 Eamings yieid 2.2 Comment on the retum on equity calculated in question 2.1.6. 2.3 Refer to the appropriate ratio in question 2.1 and explain whether the company will be able to pay its short-term debts when business conditions are not favourable. (2 marks) (2 marks) (2 marks) ( 2 marks) (2 marks) (2 marks) (2 marks) (4 marks) (2 marks) QUESTION 2 ( 20 Marks) REQUIRED Use the information provided in Question 1 to answer the following questions: 2.1 Calculate the following ratios for 2022 only. Express the answers to two decimal places 21.1 Net profit margin 2.1.2 Average collection period (Use 360 days.) 2.1 .3 Inventory tumover 2.1.4 Acid-test ratio 2.1.5 Debt to assets 2.1.6 Return on equity 2.1.7 Eamings yieid 2.2 Comment on the retum on equity calculated in question 2.1.6. 2.3 Refer to the appropriate ratio in question 2.1 and explain whether the company will be able to pay its short-term debts when business conditions are not favourable. (2 marks) (2 marks) (2 marks) ( 2 marks) (2 marks) (2 marks) (2 marks) (4 marks) (2 marks)
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