The following are summarized financial statements of BETA Limited for the year ended 31^st December 2020.comparable figures for the previous year are also shown

Income statement for the year ended 31 st December 2020

2020 2019

Shs 000 Shs 000

Sales 57,600 36,000

Less cost of goods (35,400) (21,000)

GROSS PROFIT 22,200 15,000

Trading expenses (9,900) (8,100)

Net profit before interest and tax 12,300 6,900

Less debenture interest (450) (450)

Net profit before tax 11,850 6,450

Less corporate tax (5,710) (2,880)

Net profit after tax 6,090 3,570

Less ordinary share dividend (3,150) (2,250)

Undistributed profit for the year 2,990 1,320

N/B Assume of the sales are on credit

Required:

a) Compute the following ratios using the given information:

1 Five activity ratios

2 Five profitability ratios

3 Two investment ratios