The marked value can be defined as that value of an asset the company

Answer all questionsThe marked value can be defined as that value of an asset the company wouldhave paid if it were to purchase the very asset on open market at the end of thefinancial period or balance sheet date. The value obtained will be the real currentvalue of such an asset if the company was to acquire it as a new asset. However, itwill be necessary to charge an appropriate rate of depreciation to the value ofsuch an asset on the open market to arrive at its market value.Salima purchased an asset in Doha on 1st June 1980 for $120,000 depreciates it ata rate of 12% per year on a straight line basis the book value of this asset as at30th June will be?On 30th June 1983 Salim could purchase the same asset in Doha at $180,000 onopen market. Therefore the market value of such asset or its real current bookvalue can be computed as?The following information was extracted from the books of two companies, XYZLtd and ABC Ltd. for the financial periods 1987 and 1988 respectively.XYZ (1987)-USDXYZ (1988)-USDABC(1988)-USD40,00060,00060,000Work in progress10,00018,00020,000Finished goods50,00070,000100,000Debtors140,000180,000170,000Annual sales2,000,0002,200,0002,400,000Stock of rawmaterialsstockCost of production1,000,0001,050,0001,250,000Annual cost of1,200,0001250,0001,000,000Trade creditors110,000100,000140,000Annual purchase700,000780,000600,000salesof raw materialsI.Calculate the cycle for company XYZ and ABC Ltd.II.Interpret the results.III.The working capital needed by each company at any one point in time.Consider the following information extracted from the books of General MotorsCompany:Cash1,100,000Debtors3,200,000Stock1,600,000Receivables400,000Prepayments400,000Accruals600,000Bank overdraft600,000Trade Creditors800,000Proposed dividends800,000Provision for taxation250,000Provision for depressionFrom the above information:i.Compute the acid test ratioii.Current ratio1,000,000