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(Basic strategies) You are considering investing in the retail sector and have identified two companies for further analysis. Financial information for the two companies is

(Basic strategies) You are considering investing in the retail sector and have identified two companies for further analysis. Financial information for the two companies is as follows:

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Current Attempt in Progress (Basic strategies) You are considering investing in the retail sector and have identified two companies for further analysis. Financial information for the two companies is as follows: (in thousands) Company A Company B Sales $1,215,000 $1,440,000 Cost of goods sold 619,650 964,800 Net income 97,500 60,200 Average inventory 212,900 150,300 Average total assets 838,252 517,567 (a) Calculate and compare the following ratios for the two companies: (Round answers to 1 decimal place, e.g. 18.4 or 15.3%.) i. Return on assets ii. Gross margin iii. Profit margin iv. Inventory turnover V. Days to sell inventory Company A Company B Return on assets % % Gross margin % % Profit margin % % Inventory turnover times times Days to sell inventory days days

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