Calculating Gross Profit Margin and Inventory Turnover The following table presents sales revenue, cost of goods sold, and inventory amounts for three retailers of fine jewelry, Tiffany & Co., Zale Corporation, and Blue Nile, Inc. (an Internet retailer).

($ millions)	2013	2012
Tiffany & Co.
Revenues	$4,585	$4,017
Cost of goods sold	1,776	1,674
Inventory	2,489	2,347
Zale Corporation
Revenues	$1,973	$1,910
Cost of goods sold	989	949
Inventory	823	769
Blue Nile, Inc.
Revenues	$505	$443
Cost of goods sold	451	368
Inventory	90	60

a. Compute the gross profit margin (GPM) for each of these companies for 2013 and 2012. Note: Round GPM answers to one decimal place (ex: 0.2345 = 23.5%).

	Tiffany				Zale				Blue Nile
	2013		2012		2013		2012		2013		2012
Gross profit
Gross profit margin (GPM)		%		%		%		%		%		%

b. Compute the inventory turnover ratio and the average inventory days outstanding for 2013 for each company.

Do not round until your final answer.

Round inventory turnover to one decimal place. Round average inventory days outstanding to nearest whole number.

	Tiffany	Zale	Blue Nile
Inventory turnover
Avg. inventory days outstanding