Sunrise Hospital has reported the following inventory and sales data for the year:

Sunrise Hospital reported beginning inventory of £80,000, net purchases of £350,000, ending inventory of £70,000, and total revenue of £450,000.

Requirements:

1. Determine the Cost of Goods Sold (COGS) for Sunrise Hospital.
2. Prepare an income statement for the year ended 31 December 2021.
3. Analyze the inventory turnover ratio and its impact on Sunrise Hospital's operations.