Ushindi Limited presented the following financial statements on 30 June 2004 Additional Information 1. An analysis of the industry in which the company operates reveals the following...

      

Ushindi Limited presented the following financial statements on 30 June 2004
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Additional Information
1. An analysis of the industry in which the company operates reveals the following industrial
average
Current Ratio 1:5:1
Quick Ratio 0:8:1
2. The purchases for the year were Sh. 2,160,000 while the cost of sales was Sh. 3,000,000.
3. The market price of the company’s shares as at 30 June 2004 was Sh. 5
Required:
a) Compute the following ratios for Ushindi Limited
i) Return on capital employed
ii) Turnover of capital
iii) Operating expenses ratio
iv) Accounts receivable turnover in days
v) Dividend yield
vi) Price earnings ration
vii) Market value to book value ration
viii) Current ratio
b) Compare the company’s liquidity performance with that of the industry.

  

Answers


Kavungya
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Kavungya answered the question on May 5, 2022 at 12:52


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