E7-15 (Algo) Analyzing and Interpreting the Inventory Turnover Ratio (LO 7-5) Snow Pack Corporation is the biggest snowmobile manufacturer in the world. It reported the following amounts in its financial statements (in millions): 2017 2018 Net Sales Revenue $ 4,900 $ 4,360 Cost of Goods Sold 4,290 3,810 Average Inventory 490 440 Required: 1-a. Calculate the inventory turnover ratio for 2018 and 2017. 1-b. Calculate the average days to sell inventory for 2018 and 2017. 2. Did inventory turnover at Snow Pack improve or decline in 2018? 3. Calculate the 2018 gross profit percentage. 4. The main competitor for Snow Pack Is Arctic Cat. Prior to being acquired by Textron Incorporated, Arctic Cat reported its inventory turnover was 4.6 and its gross profit percentage was 5.2 percent. Why was Arctic Cat more likely than Snow Pack to require a write-down for LCM/NRV? Complete this question by entering your answers in the tabs below. Reg 1A Req 18 Reg 2 Reg 3 Reg 4 Calculate the inventory turnover ratio for 2018 and 2017. (Round your answers to 1 decimal place.) Times per Year 2018 2017 Inventory Tumover Ratio 1 Reg 18 > Complete this question by entering your answers in the tabs below. Reg 1A Req 1B Reg 2 Reg 3 Reg 4 Calculate the average days to sell inventory for 2018 and 2017. (Use 365 days in a year. Use rounded "Inventory Turnover Ratio" and round your answers to 1 decimal place.) Days 2018 2017 Average Days to Sell Inventory Req1A Reg 2 > Complete this question by entering your answers in the tabs below. Req 1A Req 1B Req 2 Req3 Req 4 Calculate the 2018 gross profit percentage. (Round your answer to 1 decimal place.) Gross profit percentage for 2018 %