d$.$ Refer to the guidance in Chapter $7$ on performance materiality, tolerable misstatement, and clearly trivial amounts. Apply those materiality guidelines to the planning analytical procedures in the acquisition and payment cycle for GSK Corp. to define what is meant by a significant difference. Explain your reasoning. Also comment on qualitative materiality considerations in this context. Now that you have determined what amount of difference would be considered significant, calculate the ratios identified in $($a$.)$ and any additional ratios or trend analyses that you may have suggested, based on GSK Corp.$$s recorded financial statement amounts. Identify those ratios where there is a significant unexpected difference.d$.$ Refer to the guidance in Chapter $7$ on performance materiality, tolerable misstatement, and clearly trivial amounts. Apply those materiality guidelines to the planning analytical procedures in the acquisition and payment cycle for GSK Corp. to define what is meant by a significant difference. Explain your reasoning. Also comment on qualitative materiality considerations in this context. Now that you have determined what amount of difference would be considered significant, calculate the ratios identified in $($a$.)$ and any additional ratios or trend analyses that you may have suggested, based on GSK Corp.$$s recorded financial statement amounts. Identify those ratios where there is a significant unexpected difference.

a$.$ Your audit senior has suggested that the following ratios $($on an overall financial statement level$)$ will be used for planning analytical procedures in the acquisition and payment cycle at GSK Corp.:

Inventory Ratios

$$ Gross margin analysis $($revenues $$ cost of sales$)/$revenues

$$ Changes in cost of goods sold on a percentage basis, yearly comparisons

$$ Inventory turnover $($cost of goods sold$/$ending inventory$)$

$$ Number of days$$ sales in inventory $(365/$inventory turnover$)$

Accounts Payable Ratios

$$ Accounts payable turnover $($purchases$/$average accounts payable$)$

$$ Days outstanding in accounts payable $(365/$accounts payable turnover$)$

$$ Accounts payable$/$current liabilities

As part of the first step, identify any other relevant relationships or trend analyses that would be useful to consider as part of planning analytics. Explain your reasoning.