Question Three: 8 marks Based on the attached income statement and balance sheet statement, workout the following ratios as for the year 2014: 1. Return on assets 2. Net profit margin 3. What is the interpretation for the following: A firm has operating profit margin 25% 4. What is the interpretation for the following: A firm has a liquidity ratio 25% 2014 December 31 2015 S 363 68 $ 288 51 365 503 289 $1,223 52,072 1.866 300 $1,004 $1,903 1,693 Assets Cash Marketable securities Accounts receivable Inventories Total current assecs Land and buildings Machinery and equipment furniture and fixtures Vehicles Other (includes financial leases) Total gross fixed assers (at cost) Less: Accumulated depreciation Net fixed assers Cotal assethed with CamScanner 358 316 275 314 98 96 $4,669 2.295 52,374 $3,597 $4,322 2.056 $2.266 $3,270