Anushka Dsilva – 40121289
Use the three- year basic ratio calculations of Jute Fashions below to help you answer Unit 5 M2 analyse the of a business using suitable
ratios
Unit 2 M3 analyse the performance of a business using suitable ratios can be used to monitor the financial performance of JUTE
performance FASHIONS LTD.
Jute Fashions Ltd Financial Performance years – 2017-2019
Ratios 2017 2018 2019
Ratio Analysis
is exercised by
Gross Profit Margin 41% 42% 81.43% individuals such
as company
Net Profit Margin 19% 18% 16.71% owners,
directors or
managers,
ROCE 10% 11% 0.10% financial
experts and
even media
Current Ratio 1.5:1 2:1 3.14 : 1 channels in
order to help
gauge the
Acid Test 1:1 1:1 0.92 : 1 operation and
performance of
Stock Turnover 30 times 20 times 2 times their
businesses. It is
well-practised
Creditor Collection Period in 760 days 762 days 782 days and hence a
Days reliable,
Debtor Collection Period in 810 days 800 days 782 days confidential
Days
1 Unit 2: Business Resources/ Business Accounting Task 3 Basic Ratios
Use the three- year basic ratio calculations of Jute Fashions below to help you answer Unit 5 M2 analyse the of a business using suitable
ratios
Unit 2 M3 analyse the performance of a business using suitable ratios can be used to monitor the financial performance of JUTE
performance FASHIONS LTD.
Jute Fashions Ltd Financial Performance years – 2017-2019
Ratios 2017 2018 2019
Ratio Analysis
is exercised by
Gross Profit Margin 41% 42% 81.43% individuals such
as company
Net Profit Margin 19% 18% 16.71% owners,
directors or
managers,
ROCE 10% 11% 0.10% financial
experts and
even media
Current Ratio 1.5:1 2:1 3.14 : 1 channels in
order to help
gauge the
Acid Test 1:1 1:1 0.92 : 1 operation and
performance of
Stock Turnover 30 times 20 times 2 times their
businesses. It is
well-practised
Creditor Collection Period in 760 days 762 days 782 days and hence a
Days reliable,
Debtor Collection Period in 810 days 800 days 782 days confidential
Days
1 Unit 2: Business Resources/ Business Accounting Task 3 Basic Ratios