QUESTION 2 [25] The consolidated Statement of Comprehensive Income and Statement of Financial Position of the Ikhwezi group for the year ending 30 September, 20.8 are given in Annexure B. Required: Using ratio analysis, calculate and comment on the group's debt management (2 ratios) and profitability (3 ratios). ANNEXURE B 20.8 20.7 Statement of Comprehensive Income For the year ended 30 September 20.8 Continuing operations Sales revenue R R 2 526 300 000 2066 900 000 Profit (earnings) before interest and tax Finance costs 310 900 000 21 300 000 289 600 000 8700 000 0 298 300 000 109 500 000 188 800 000 242 200 000 18 500 000 223 700 000 7700 000 100 000 231 500 000 86 900 000 144 600 000 Income from investments Share of profits of associates Profit before tax Income tax expense Profit for the year from continuing operations Discontinued operations Loss from discontinued operations Profit for the year Other comprehensive income Total comprehensive income for the year 48 600 000 140 200 000 0.0 144 600 000 140 200 000 144 600 000 Total comprehensive income attributable to: Owners of the company Non-controlling interests Preference shareholders 104 700 000 35 400 000 100 000 140 200 000 109 900 000 34 600 000 100 000 144 600 000 QUESTION 2 [25] The consolidated Statement of Comprehensive Income and Statement of Financial Position of the Ikhwezi group for the year ending 30 September, 20.8 are given in Annexure B. Required: Using ratio analysis, calculate and comment on the group's debt management (2 ratios) and profitability (3 ratios). ANNEXURE B 20.8 20.7 Statement of Comprehensive Income For the year ended 30 September 20.8 Continuing operations Sales revenue R R 2 526 300 000 2066 900 000 Profit (earnings) before interest and tax Finance costs 310 900 000 21 300 000 289 600 000 8700 000 0 298 300 000 109 500 000 188 800 000 242 200 000 18 500 000 223 700 000 7700 000 100 000 231 500 000 86 900 000 144 600 000 Income from investments Share of profits of associates Profit before tax Income tax expense Profit for the year from continuing operations Discontinued operations Loss from discontinued operations Profit for the year Other comprehensive income Total comprehensive income for the year 48 600 000 140 200 000 0.0 144 600 000 140 200 000 144 600 000 Total comprehensive income attributable to: Owners of the company Non-controlling interests Preference shareholders 104 700 000 35 400 000 100 000 140 200 000 109 900 000 34 600 000 100 000 144 600 000