Question 1     Below are the summarized financial statements of Eenyanyu Limited, a construction company based in Oshakati in the northern part of Namibia for the years ended 30 July 2019 and 2020. Eenyanyu Limited Statement of Profit and Loss and other Comprehensive Income   2020 N$000 2019 N$000 Opening inventories: Materials 1 320 720 Purchases 4 560 4 800   5 880 5 520 Closing inventories: Materials (1 320) (5 520) Material consumed 4 560 4 560 Labour 2 760 2 340 Overheads 3 084 2 598 Total Cost of Production 10 404 9 498 Opening finished product 3 240 2 124   13 644 11 622 Closing finished products (5 640) (6 420) Cost of sales 8 004 5 202 Gross profit 1 626 853 Sales 9 630 6 055 Administrative costs 252 240 Selling costs 300 288 Interest on bank overdraft 96 36 Profit after tax 778 187 Tax rate 28% 28%     Eenyanyu Limited Statement of Financial Position   2020 N$000   2019 N$000   Equipment (carrying amount)   3 480   3 360 Inventories   6 960   4 560 Receivables   4 200   3 600     14 640   11 520 Issued share capital   1 200   1 200 Share premium   960   960 Retained income   4 920   5 232 Bank overdraft   4 800   1 920 Payables   2 760   2 208     14 640   11 520     REQUIRED: Marks 1.1 Calculate the profitability ratios for 2019 and 2020 for Eenyanyu Ltd. 15   1.2   Critically evaluate the management efficiency and performance of Eenyanyu Ltd for the years 2019 and 2020.     5   Total 20