Style Limited (Adapted from Dyson p 245, 10.9) | 2018 000 000 2017 000 2017 000 000 000 000 1,900 1,500 420 685 Income Statement Sales (all credit) Cost of Goods Sold Opening stock Purchases (all credit) 80 100 2018 000 Statement of Financial Position Fixed Assets (NBV) Current Assets Inventory 250 Trade debtors 850 Bank 1,100 Less : Current Liabilities Bank overdraft Trade creditors 995 100 1,400 1,500 200 375 1,075 Less closing stock 100 Gross Profit Expenses Net profit Total Assets less Current Liabilities 100 Long Term Liabilities Bank loan Capital and reserves Ordinary share capital Retained profit Long Term Liabilities & Equity Required: (a) Calculate the following accounting ratios for the two years 2018 and 2017 respectively: Profitability ratios Liquidity and solvency ratios 900 310 1,310 900 205 1.105 1. Gross profit margin 6. Current ratio 2. Net profit margin 7. Acid test ratio Efficiency ratios Returns 3. Inventory turnover period 8. Return on capital employed 4. Receivables settlement period 9. Return on shareholders funds 5. Payable settlement period (4 marks)