The following are extracts of the Income Statement and Balance Sheet of Loyd plc. 2020 (000) 2021 (000) Non-current Asset Vehicle 20.00 18.00 Furniture 8.00 5.00 28.00 23.00 Current Assets Inventory 4.90 13.70 Receivable 8.80 11.60 Balance at Bank 13.90 11.50 Cash In hand 2.60 4.20 Total current asset 30.20 41.00 Current Liabilities 16.70 30.80 41.50 33.20 Shareholders equity 20.00 20.00 Retained Profit 16.00 12.50 General reserve 5.50 0.70 41.50 33.20 Sales 30.00 40.00 Cost of Sales 8.00 9.00 Net Profit 16.00 18.50 The following ratios indicates the benchmark performance of the industry average for the year 2021: Ratios Measures Gross Profit Margin 65 percent Net Profit Margin 55 percent Receivable Collection Period 68 days Earning Per Share 50 pence Dividend Yield 3.2 percent PE ratio 6.5 times Investors Ratios: Dividend Per Share 12 Pence 18 Pence Number of Shares Issued 20,000 units 20,000 units Average share price 2.50 3.30 You are required to calculate the following ratios for both years: a. Gross Profit Margin ( 2 Marks) b. Net Profit Margin ( 2 Marks) c. Current Ratio ( 2 Marks) d. Quick Ratio ( 2 Marks) e. Receivables Collection Period ( 2 Marks) f. Earnings Per Share ( 2 Marks ) g. Price Earning Ratio ( 2 Marks ) h. Dividend Yield ( 2 Marks ) (Total : 16 Marks) b. Prepare a report to the management on the following category of the ratios: (i) Profitability (ii) Efficiency (iii) Liquidity (iv) Investors Ratio