Ratios and Intepretation 10

The following information is from the annual report of Thunderstruck Ltd:

Statement of financial position of Thunderstruck Ltd as at 31 December 202x

Income statement extract of Thunderstruck Ltd for the year ended 31 December 202X

Question 10-a
From the information provide above, calculate the current ratio

a. 1.48:1
b. 2.44:1
c. 2:1
d. 1.77:1

Question 10-b
From the information provide above, calculate the liquidity ratio

a. 2.44:1
b. 2:1
c. 1.48:1
d. 1.77:1

Question 10-c
From the information provide above, calculate the capital gearing ratio

a. 62.9%
b. 67.4%
c. 59.5%
d. 56.3%

Question 10-d
From the information provide above, calculate the gross profit ratio

a. 40%
b. 30%
c. 10%
d. 20%

Question 10-e
From the information provide above, calculate return on long term capital employed

a. 24.3%
b. 30%
c. 13.5%
d. 19.5%

Question 10-f

From the information provide above, calculate the debtors (trade receivables) ratio

a. 6.25 days
b. 58.4 days
c. 65.7 days
d. 16 days