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Vee-Jay Company (Pty) Ltd Extracted the following Ratios from its books for the year 2020 together with the relevant industry averages. RATIOS 2020 Industry average

Vee-Jay Company (Pty) Ltd Extracted the following Ratios from its books for the year 2020 together with the relevant industry averages. RATIOS 2020 Industry average 1. Current Ratio 1,9 2 2. Acid test ratio 0,8 1 3. Inventory Turnover 4 times 6 times 4. Debtors collection period (days) 51 days 40 days 5 Creditors payment period (days) 61 days 50 days Required: 1.For each of the above five ratios, answer the following: a. what does the ratio measure and (8

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