1. Sirap Pandan Sdn. Bhd. has gathered its balance sheet for years 2018 and 2019 as shown below:

	2018	2019
Current assets: Cash Accounts receivable Inventory	RM 220,000 80,000 100,000	RM 290,000 170,000 140,000
Non-current assets: Furniture	400,000	300,000
Total Assets	800,000	900,000
Current liabilities: Accounts payable Accrued expenses	160,000 80,000	200,000 100,000
Long term debt	180,000	180,000
Equity	380,000	420,000
Total Liabilities and Equity	800,000	900,000

You are required to:

1. Calculate the net working capital for 2018 and 2019.

2. Calculate the current ratio for 2018 and 2019.

( 6 )

( 6 )

3. Based on your answer in (a) and (b) above, what can you conclude about the companys liquidity position?

4. Explain the relationship between a companys liquidity and its returns.

( 4 )

( 4 )

( Total / Jumlah: 20 )