(a) Comment on the relevant trading performance of HotFood plc for each of the two years outlined above.
(10 marks)
(b) Calculate three ratios of interest to a potential investor. Provide a brief narrative analysing the results of your calculations.
(10 marks)
(c) Calculate three ratios of interest to a potential lender. Provide a brief narrative explaining the results of your calculations.
(10 marks)
(d) The Directors of HotFood plc are considering raising funds to finance expansion. Write a short report to them contrasting the advantages and disadvantage of debt finance and equity finance.