The selected financial statements data of HOM Company Ltd. for the years ended 31 December 2018 and 2019 are as follows

HOM Company Ltd. Trial Balances as of 31 December
		Year 2018		Year 2019
		(HKDm)		(HKDm)
Cash and bank		800		2,300
Accounts receivable		600		800
Closing inventory		100		600
Plant and Equipment (net)		1,500		3,200
Accounts payable		1,000		5,500
Five years debts		1,500		600
Ordinary shares		2,000		2,000
Sales revenue (net)		4,500		5,800
Cost of sales (COGS)		2,700		3,500
Other expenses		300		700
Selling and administration expenses		1,100		1,350
Income tax		80		60

REQUIRED:

a) Calculate (to 2 decimal places) any FIVE of the following ratios for HOM Company Ltdin year 2018 and 2019 with calculation workings.

i. Net profit margin

ii. Gross profit margin

iii. Current ratio

iv. Quick ratio

v. Debtors ratio

vi. Creditors ratio

vii. Stock turnover ratio

viii. Gearing ratio

(10 marks)

b) Please comment the performance of HOM Company Ltd through profitability, efficiency, and short term liquidity for these two years.

(10 marks)

(Total 20 marks)