QUESTION $3(10$ marks$)$ The following information is relevant to Baratang $($Pty$)$ Limited. In the right$-$hand column below, certain financial ratios are listed. To the left of each ratio is a business transaction or event relating to the operating activities of the company. $\backslash$begin$\{$tabular$\}\{|$l$|$l$\}\backslash$hline Business transactions & Ratios $\backslash \backslash \backslash$hline $1.$ The inventory was sold for cash at a profit & Debt$-$to$-$equity ratio $\backslash \backslash \backslash$hline $2.$ The company paid off some accounts payable & Working capital $\backslash \backslash \backslash$hline $3.$ A customer paid off their overdue account & Average collection period $\backslash \backslash \backslash$hline $4.$ Land was paid for in cash & Earnings per share $\backslash \backslash \backslash$hline $5.$ Property was sold for a profit & Return on assets $\backslash \backslash \backslash$hline $6.$ Obsolete inventory was written off as a loss & Inventory turnover ratio $\backslash \backslash \backslash$hline $\backslash$begin$\{$tabular$\}\{$l$\}7.$ An uncollectable account was written off against $\backslash \backslash$ the allowance for bad debts $\backslash$end$\{$tabular$\}$ & Current ratio $\backslash \backslash \backslash$hline $8.$ Inventory was purchased on credit & Quick ratio $\backslash \backslash \backslash$hline $\backslash$begin$\{$tabular$\}\{$l$\}9.$ The company's net profit decreased, but long$-\backslash \backslash$ term debt remained unchanged $\backslash$end$\{$tabular$\}$ & Times interest earned $\backslash \backslash \backslash$hline $\backslash$end$\{$tabular$\}10.$ The co Indicate the effect that each transaction would have on the ratio listed opposite to it$.$ State the effect in terms of increase, decrease, or no effect on the ratio involved and the reason for your choioe.