You have been given the task of assessing the financial performance of two separate companies operating in the retail industry. The financial information for these two companies is presented as follows: Company Brady Simpson 000 000 Sales 325 380 Gross profit 125 170 Net profit 60 96 Fixed assets (net book value) 135 200 Current assets Stock Debtors Bank 252 70 135 45 75 25 NIL Current liabilities Creditors Bank overdraft 55 NIL 4444 45 40 Required (a) Calculate, for each company, the following ratios (to two decimal places). (i) Gross profit to sales (%) (ii) Net profit to sales (%) (iii) Return on capital employed (%) (iv) Net asset turnover (v) Current ratio (vi) Acid test (quick) ratio (2 marks) (2 marks) (2 marks) (2 marks) (2 marks) (2 marks) (b) Compare the performance of both companies, in terms of profitability and liquidity. You must use the ratios calculated in part (a) and the financial information above to support your answer. (13 marks)