QUESTION 5 (20 MARKS) REQUIRED Use the information provided in QUESTION 4 to answer the following questions: 5.1 Calculate the following ratios (expressed to two decimal places) for 2022 only. Note: Use formulas provided in the formula sheet only (that appear after QUESTION 5). 5.1.1 Gross margin (2 marks) 5.1.2 Dividend per share (2 marks) 5.1.3 Return on assets (2 marks) 5.1.4 Current ratio (2 marks) 5.1.5 Acid test ratio (2 marks) 5.1.6 Debt to equity (2 marks) 5.1.7 Creditor payment period (2 marks) 5.2 Comment on the following ratios: 2022 2021 5.2.1 Inventory turnover 3.10 times 6.35 times (2 marks) 5.2.2 Debtors collection period 56.41 days 29.45 days (2 marks) 5.2.3 Return on equity 13.11% 18.80% (2 marks)

QUESTION 5

20 MARKS

5.1

5.1.1

Gross margin
=		X
=		X
=

(2 marks)

5.1.2

Dividend per share
=		X
=		X
=

(2 marks)

5.1.3

Return on assets
=		X
=		X
=

(2 marks)

5.1.4

Current ratio
=
=
=

(2 marks)

5.1.5

Acid test ratio
=
=
=
=

(2 marks)

5.1.6

Debt to equity
=		X
=		X
=

(2 marks)

5.1.7

Creditor payment period
=		X
=		X
=

(2 marks)

5.2

5.2.1

	2022	2021
Inventory turnover	3.10 times	6.35 times

(2 marks)

5.2.2

Debtors collection period	56.41 days	29.45 days

(2 marks)

5.2.3

Return on equity	13.11%	18.80%

(2 marks)