Mr. Hussein is a trade supplier who has been approached by Al Shinas Trading LLC which is requesting credit terms for the first time. Their managing director has provided Mr. Hussein with the following extracts from the final accounts for the past two years and Mr. Hussein has approached you for advice. Details 2019 (OMR) 2020 (OMR) Accounts payables Sales revenue 75,000 65,000 620,000 910,000 Equipment Cost of Goods sold 30,000 22,000 400,000 350,000 Machinery Inventory Operating costs Non-operating expenses Common share capital 3,150,000 3,128,000 50,000 80,000 192,000 170,000 25,000 550,000 15,000 550,000 Bonds 95,000 70,000 (25,000) 50,000 100,000 90,000 Retained earnings Col 90,000 re 65,000 85,000 Bank Accounts Receivables Long-term loan Shareholders' fund 70,000 770,000 800,000 Cash 100,000 75,000 Prepaid expenses 500 200 A) Being a student of financial management course, evaluate and compare the Profitability and Liquidity performance of Al Shinas Trading LLC using the tools (ratio analysis) for the two years given in the above information?

Mr. Hussein is a trade supplier who has been approached by Al Shinas Trading LLC which is requesting credit terms for the first time. Their managing director has provided Mr. Hussein with the following extracts from the final accounts for the past two years and Mr. Hussein has approached you for advice. Details 2019 (OMR) 2020 (OMR) Accounts payables Sales revenue 75,000 65,000 620,000 910,000 Equipment Cost of Goods sold 30,000 22,000 400,000 350,000 Machinery Inventory Operating costs Non-operating expenses Common share capital 3,150,000 3,128,000 50,000 80,000 192,000 170,000 25,000 550,000 15,000 550,000 Bonds 95,000 70,000 (25,000) 50,000 100,000 90,000 Retained earnings Col 90,000 re 65,000 85,000 Bank Accounts Receivables Long-term loan Shareholders' fund 70,000 770,000 800,000 Cash 100,000 75,000 Prepaid expenses 500 200 A) Being a student of financial management course, evaluate and compare the Profitability and Liquidity performance of Al Shinas Trading LLC using the tools (ratio analysis) for the two years given in the above information?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 14EA: Arvan Patel is a customer of Banks Hardware Store. For Mr. Patels latest purchase on January 1,...

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