This is financial statement analysis.. The marks is high 25 marks plz help me on this..

The Housing Department of Kolea (DBK) has invited tenders to re-roofing 150 houses on an estate. KTS Construction Company (KTS) is one of the DBK registered vendors and has submitted a tender for this contract. At the same time, several contractors from the private sector have also submitted their tender. DBK has been able to narrow the choice of contractor to the four tenderers who have submitted the lowest bids as follows: Company ATS KTS BTS CTS RM 798,600 805,850 812,300 826,500 The tender evaluation process requires that the three private tenderers be appraised based on financial soundness and work quality. These tenderers were required to provide their latest final accounts year ended 30 June 2020 for this appraisal. Details of the account are as follows: Statement of Financial Position as at 30 June 2020 ATS BTS CTS RM Fixed assets (net book value) Inventories and work in progress Debtors Bank Creditors Dividend Loan Total 55,400 26,700 69,300 - 11,000 -92,600 0 0 47,800 RM 1,542,400 149,000 130,800 10,400 - 140,600 -91,800 -800,000 800,200 RM 2,906,800 449,200 240,600 -6,200 -279,600 -70,000 -1,200,000 2,040,800 Capital Ordinary shares @ RM1 each Reserves 47,800 0 0 0 250,000 550,200 800,200 0 1,000,000 1,040,800 2,040,800 Total 47,800 Profit and loss account for year ended 30 June 2020 ATS BTS CTS Turnover Direct costs Other operating costs Interest Profit before taxation RM 611,600 -410,000 -165,000 RM 1,741,200 - 1,190, 600 -211,800 -85,000 253,800 RM 3,080,400 - 1,734,800 -811,200 -96,000 438,400 36,600 ATS employs six operatives and has been used by DBK for 4 small maintenance contracts worth between RM60,000 and RM75,000 which they have completed to an appropriate standard. DBK has employed BTS on a contract to replace flat roofs on the apartment block, but there have been numerous complaints about the standard of the work. CTS is a company that the council has not employed in the past, and, as much of its work has been carried out elsewhere, its quality of work is not known. KTS has been suffering from the effects of increasing competition in recent years and achieved a return on capital employed of only 3.5% in the previous financial year. KTS's manager has successfully renegotiated more beneficial service level agreements with DBK with effect from 1 July 2020. KTS has also reviewed its fixed asset base, which has resulted in the disposal of a depot which was surplus to a requirement and in the rationalization of vehicles and plant. The consequence of this is that KTS's average capital employed for next year is likely to be 15% lower than the latest the year 2020. Further analysis of the tender bids is provided below: BTS RM CTS RM ATS RM 384,000 290,000 Labour KTS RM 401,400 250,000 154,450 453,600 230,000 128,700 380,400 290,000 Materials 124,600 156,100 Overheads (including profit) TOTAL 798,600 805,850 812,300 826,500 The DBK Tender Committee can reject tenders on financial and/or quality grounds. However, each tender must be appraised on these criteria and reasons for acceptance or rejection must be justified in the appraisal process b. A draft report to the committee evaluating the tender bids and recommending to whom the contract should be awarded. The report must cover evaluation on the financial aspect and performance risk of all the tenderers. Discuss the justification and additional approval terms (if any) for a successful tenderer. (25 marks)