Cinnamon RollCinnamon Roll?,

?Inc., and

Moon Beam CoffeeMoon Beam Coffee

Corporation are both specialty food chains. The two companies reported these? figures, in? millions:

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?(Click the icon to view

Cinnamon RollCinnamon Roll?'s

financial? statements.)

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?(Click the icon to view

Moon Beam CoffeeMoon Beam Coffee?'s

financial? statements.)

Requirements

1.	Compute gross profit percentage and the rate of inventory turnover for Cinnamon RollCinnamon Roll?, ?Inc., and Moon Beam CoffeeMoon Beam Coffee for 20162016.
2.	Based on these? statistics, which company looks more? profitable? Why? What other expense category should we consider when evaluating these two? companies?

Requirement 1. Compute gross profit percentage and the rate of inventory turnover for

Cinnamon RollCinnamon Roll?,

?Inc., and

Moon Beam CoffeeMoon Beam Coffee

for

20162016.

Cinnamon RollCinnamon Roll?,

?Inc., and

Moon Beam CoffeeMoon Beam Coffee

Corporation are both specialty food chains. The two companies reported these? figures, in? millions:

LOADING...

?(Click the icon to view

Cinnamon RollCinnamon Roll?'s

financial? statements.)

LOADING...

?(Click the icon to view

Moon Beam CoffeeMoon Beam Coffee?'s

financial? statements.)

Requirements

1.	Compute gross profit percentage and the rate of inventory turnover for Cinnamon RollCinnamon Roll?, ?Inc., and Moon Beam CoffeeMoon Beam Coffee for 20162016.
2.	Based on these? statistics, which company looks more? profitable? Why? What other expense category should we consider when evaluating these two? companies?

Requirement 1. Compute gross profit percentage and the rate of inventory turnover for

Cinnamon RollCinnamon Roll?,

?Inc., and

Moon Beam CoffeeMoon Beam Coffee

for

20162016.

Moon Beam Coffee Corporation
Income Statements (Adapted)
Years Ended December 31
	(Amounts in millions)	2016	2015
	Net sales	$9,000	$6,350
	Cost of goods sold	3,600	2,605
	Selling, general, and administrative expenses	2,930	2,345

Moon Beam Coffee Corporation
Balance Sheets (Adapted)
December 31
	(Amounts in millions)	2016	2015
	Assets
	Current assets:
	Cash and temporary investments	$ 320	$ 174
	Receivables, net	223	195
	Inventories	690	510