Question 4 You have been hired as an analyst for Oppa Bhd and your team is working on an independent assessment of Onnie Berhad. Onnie Berhad is a company that specializes in the production of freshly imported farm products from France. Your assistant has provided you with the following data for Onnie Berhad and their industry. 2018 2017 2016 2018- Ratio Industry Average Long-term debt 0.45 0.40 0.35 0.35 Inventory Turnover 62.65 42.42 32.25 53.25 0.25 0.014 0.018 0.015 Depreciation/Total Assets 98 94 130.25 Days' sales in receivables Debt to Equity 0.75 0.85 0.90 0.88 Profit Margin 0.082 0.07 0.06 0.075 Total Asset Turnover 0.54 0.65 0.70 0.40 Quick Ratio 1.028 1.03 1.029 1.031 Current Ratio 1.33 1.21 1.15 1.25 Times Interest Earned 0.9 4.375 4.45 4.65 Equity Multiplier 1.75 1.85 1.90 1.88 Required: In the annual report to the shareholders, the CEO of Onnie Berhad wrote, 2018 was a good year for the firm with respect to our ability to meet our short-term obligations. We had higher liquidity largely due to an increase in highly liquid current assets (cash, account receivables and short-term marketable securities)." Comment on the CEO's statement by using only relevant information in your analysis. (10 marks)