Complete all questions below: 1. Prepare a report by Analyzing the Financial statements for XYZ Co and doing a trend analysis. The report will be used in Financial planning process. 2. Calculate 10 ratios and compare them with market benchmark stating and discussing your observations. 3. State and discuss the matters to consider and the basis of their calculation while preparing Financial budget for a Cafe or a clothing retail shop. Statement of Comprehensive Income for XYZ Co, For the year ended Dec 2019 (IN USD '000) 2019 2017 2018 Sales Cash Credit Total Sales 1,800 17,200 19000 1,200 11,800 13000 1,480 14,320 15800 Cost of goods sold 14,800 11,240 12,832 Gross profit 4,200 1,760 2,968 Operating expenses: General, admin, and selling expenses Depreciation Interest expenses (on borrowings) Profit before tax (PBT) 1,100 166 340 2,594 180 1,100 600 (120) 1,450 1,400 1,580 (1,462) Tax @ 30% 778 (36) (439) Profit after tax (PAT) 1,816 (84) (1,023) 2018 12,500 Statement of Balance Sheet as at 31 December 2019 (USD "000) 2019 2017 Assets Fixed assets (net of depreciation) 1,470 11,900 Current assets Cash and cash equivalents 1,060 400 Accounts receivable 21,000 3,000 Inventories 22,500 3,200 Total 46,030 18,500 1,000 15,000 15,000 43,500 Equity & Liabilities Equity share capital (shares of USD 10 each) Reserve & Surplus Long-Term Borrowings Current Liabilities Total 12,292 11,876 4,062 17,800 46,030 7,176 1,364 7,360 2,600 18,500 9,412 4,448 12,360 17,280 43,500 INDUSTRY AVERAGE OF KEY RATIOS Ratio Sector Average Current Ratio 2:1 Acid test ratio (quick ratio) 1:1 Receivable turnover ratio 5 times 45 days Receivable days Long-term debt to total debt Debt to Equity ratio 13% 25% Gross profit ratio 25% Net profit ratio 15% Return on equity 17% Return on total assets 8% Total asset turnover ratio 1.3 Fixed asset turnover ratio 1.5 Current asset turnover ratio 2 00 Interest coverage ratio (times interest earned) Working capital turnover ratio 5 Return on fixed assets 13%