The balance sheet of G$.$ Limited, a wholesaler, at $31$ December $2022$ and $2023$ were as follows:

Tangible fixed assets

Cost at valuation

Aggregate depreciation

Current assets

Stock

Debtors

Cash

Current liabilities

Trade creditors

Corporation tax

Proposed dividend

Net current assets

Loans

Called up share capital

Share premium

Revaluation reserve

Profit and loss account

Dec $22$

Sh$000$

$126,300$

$(50,000)$

$76,300$

$12,000$

$10,500$

$1,400$

$23,900$

$6,800$

$3,400$

$4,000$

$14,200$

Sh$000$

$9,700$

$86,000$

$(60,000)$

$26,000$

$6,000$

$1,000$

$-$

$19,000$

$26,000$

Sh$000$

$162,400$

$(64,000)$

$98,400$

$15,000$

$14,000$

$2,000$

$31,000$

$9,400$

$5,000$

$6,000$

$20,400$

Dec $23$

Sh$000$

$10,600$

$109,000$

$(60,000)$

$49,000$

$10,000$

$3,000$

$8,000$

$28,000$

$49,000$

The stock at $31$ December $2021$ was Sh$10,000,000.$

The summarized profit and loss accounts for the company for the years ended $31$ December $2022$ and $2023$ were:

Sales

Cost of sales

Gross profit

Expenses

Net profit before tax Year ended $31$ December

$2023$

Sh$000$

$64,000$

$40,000$

$24,000$

$10,000$

$14,000$

$2023$

Sh$000$

$108,000$

$75,600$

$32,400$

$12,400$

$20,000$

Required:

a$)$ Assess the following areas for the company.

i$)$ Profitability

ii$)$ Liquidity

iii$)$ Efficiency

iv$)$ Gearing

b$)$ Explain what you can deduce from the ratios as at $31$ December $2023$ and from comparing them with those for $2022.$