REQUIRED: Using the given SFP and SCI of Jenny Merchandising, prepare a financial analysis in 2021 to 2022:

1 comparative vertical analysis (present by percent)

2 horizontal analysis (compute for the increase and decrease and its corresponding peso percent).
3 financial ratio analysis

For Financial Ratio Analysis

Compute for the following financial ratios of Jenny Merchandising in 2022: profitability, operational efficiency, and solvency and liquidity ratios.
I Profitability Ratios for 2022
Name of Ratio Formula Computation Ratio
1 Net profit margin
2 Operating profit margin
3 Return on equity
Return on investment
4 Return on Assets
5 Gross profit margin (gross profit rate)

II Operational Efficiency Ratios for 2022

Name of Ratio Formula Computation Ratio
1 Asset turnover
2 Accounts receivable turnover
3 Average collection period (days in AR)
4 Fixed asset turnover
5 Inventory turnover
6 Average sales period (days in inventory)

III Solvency Ratios

Name of Ratio Formula Computation Ratio
1 Debt to equity ratio
2 Debt ratio
3 Times Interest Earned

IV Liquidity Ratios
Name of Ratio Formula Computation Ratio
1 Current ratio
2 Quick ratio or Acid-Test Ratio