Question 2 The directors of Imex Ltd, a medium-sized printing firm, have recently reviewed the following average ratios for the printing sector from the industry's trade magazine. Return on capital employed Gearing Current ratio Operating profit percentage 17% 22% 1.9.1 9% 63 days Trade payables payment period The magazine article discusses the benefits of printing companies benchmarking their own performance against the sector's industrial average in order to assess overall performance and efficiency. Extracts taken from the financial statements of Imex Ltd are provided below. 2020 Revenue 000 2,760 (2.210) Statement of profit or loss for the year ended 31 December Cost of Sales Gross profit 550 Distribution Costs & Administrative Expenses (370) Profit from operations 180 O Statement of Financial Position as at 31 December 2020 Total Current Assets 000 590 Equity Share Capital Retained Earnings Total Equity Total Non-Current Liabilities Current Liabilities Trade Payables Taxation Payable Total Current Liabilities Required: 250 380 630 260 130 40 170 a) Calculate from the financial statements of Imex Ltd the ratios listed in the magazine article. You should show detailed workings for each ratio. [7 marks] b) Write a report for the directors of Imex Ltd, assessing the company's overall performance, comparing its ratios with the sector average. [13 marks] [Total 20 marks]