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QUESTION 2 (25 Marks ) REQUIRED 2.1 Use the information provided below to calculate the ratio for 2020 that would reflect each of the following

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QUESTION 2 (25 Marks ) REQUIRED 2.1 Use the information provided below to calculate the ratio for 2020 that would reflect each of the following . Where applicable , round off answers to two decimal places 2.1.1 The extent to which the claims of short -term creditors are covered by assets that can be translated into cash in the short term (2 marks ) 2.1.2 The extent to which long-term debt is covered by shareholders ' funds (3 marks ) 2.1.3 The amount of funds available relative to sales , to pay the company's expenses other than its cost of sales (3 marks ) 2.1.4 The rand amount of distributions during the period on behalf of each ordinary share issued (3 marks ) 2.1.5 An indication of the profit that has been put back into the company (3 marks ) 2.1.6 The amount that investors are willing to pay for each rand of the company's earnings (3 marks ) 2.2 Provide TWO (2) ways of making an improvement with regard to each of the following ratios : 2.2.1 Debtors collection period (2 marks ) 2.2.2 Operating margin (2 marks ) 2.3 Comment briefly on the following ratios

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