QUESTION 2 Below are the most recent financial statements for Posmaju Stationery Sdn Bhd. POSMAJU STATIONERY SDN BHD Statement of Profit or Loss For the financial year ended August 31, 2020 (in RM'000) Sales 3,756 Cost of goods sold 2,453 Depreciation Earnings before interest and taxes Interest paid 613 Taxable income Taxes (34%) Net income 132 490 813 200 68 2020 144 1,039 POSTMAJU STATIONERY SDN BHD Statement of Financial Position As at August 31, 2020 (in RM'000) 2019 2020 2019 Assets Liabilities and Equity Current assets Current liabilities Cash 120 88 Accounts payable 124 Accounts 221 192 Notes payable 1,112 receivable 424 368 Inventory Total 768 648 Total 1,536 Fixed assets Long-term debt 1.804 PPE, net 5,228 5,354 Equity Total assets 5,996 6,002 Ordinary share 300 Retained earnings 2.356 Total 2.656 Total liabilities 5.996 and equity 1,183 2.077 300 2,442 2,742 6,002 a. Calculate the following ratios for FYE 2020 and interpret the results: i. Current ratio ii. Quick ratio iii. Inventory turnover iv. Total asset turnover v. Days' sales in receivables vi. Times interest earned vii. Net profit margin (14 marks) b. Calculate ROE of FYE 2020 for Posmaju Stationery Sdn Bhd and then break down your answer into its component parts using the DuPont model. (6 marks)