QUESTION 2 (20 Marks) REQUIRED Use the information provided below to answer the following questions. Note: Use formulas provided in the formula sheet only (that appear after QUESTION 5). Answers to the ratios must be expressed to two decimal places. 2.1 Calculate the percentage profit on sales after the cost of sales only have been accounted for. ( 2 marks) 2.2 Has the liquidity of the company improved? Use two relevant ratios to motivate your answer. (6 marks) 2.3 Use the relevant ratios to comment on the effectiveness with which the company has employed the inventory and debtors during 2022. (6 marks) 2.4 Use TWO (2) appropriate ratios that shareholders would use to assess the profitability of the company for 2022 by examining the after-tax returns earned. Comment on your calculations. ( 6 marks) INFORMATION Extracts of the financial statements of Ultra Limited are presented below: Additional information - The authorised share capital of the company consists of 1500000 ordinary shares of which 1000000 have been issued