You are the audit senior on the audit for the year ended 30 June 2019 of Gleam Pty Ltd, a large manufacturer of lighting accessories. This is the first year that your firm has performed Gleam's audit. As part of the planning work, you have annualised Gleam's interim financial accounts and performed analytical procedures in the annualised figures and compared the results to industry averages and last year's audited financial information. The results are: Ratio Industry Average Gleam Pty Ltd 2018 2017 2018 2017 1. Current ratio 2.51 2.72 2.12 2.55 2. Net profit ratio 0.08 0.07 0.063 0.05 3. Gross profit ratio 0.24 0.29 0.24 0.21 4. Inventory turnover ratio 3.41 3.52 4.24 4.53 5. Receivables turnover ratio 6.02 5.81 6.38 7.17 6. Return on total assets 8.4% 6% 15% 11% Required: Providing a brief explanation of each of the above ratios, outline what conclusions can be drawn about Gleam's financial position and identify potential audit risks to be investigated further