Answered step by step
Verified Expert Solution
Question
1 Approved Answer
QUESTION 4 (25 Marks) 4.1REQUIRED Use the information provided to calculate and comment on the following ratios for 2023. Where relevant, round off answers to
QUESTION 4 (25 Marks) 4.1REQUIRED Use the information provided to calculate and comment on the following ratios for 2023. Where relevant, round off answers to two decimal places. 4.1.1 Current ratio (4) 4.1.2 Acid test ratio (4) 4.1.3 Inventory turnover (4) 4.1.4 Debtor collection period (4) 4.1.5 Creditor payment period (4) INFORMATION Extracts of the financial statements of Sani-Tech Limited for 2023 are provided below. Sani- Tech Limited Extract of Statement of Comprehensive Income for the year ended 28 February 2023
\begin{tabular}{|l|c|} \hline & R \\ \hline Sales (70\% of sales on credit) & 355000 \\ \hline Cost of sales & 215000 \\ \hline Opening inventory & 71500 \\ \hline Purchases (all credit) & 230000 \\ \hline & 301500 \\ \hline Closing inventory & (86500) \\ \hline \end{tabular} 4.2 You have been recently appointed as the Accounting officer for Casio Enterprises. You have been tasked with addressing the high level of delinquent accounts on the books. Explain FIVE (5) ways to collect overdue accountsStep by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started