Kerley's Beauty Products Ltd. reported the figures below at December 31, 2017, 2016, and 2015. The business has declared bankruptcy You have been asked to review the business and explain why failed Click the icon to view financial information) Requirement Evaluate the trend of Kaley's Beauty Products's results of operations during 2015 through 2017 Consider the trends of sales, gross profit, and not incore. Track the gross profit percentage to three decimal places and the rate of inventory turnover to one decimal place in each year-2015, 2016 and 2017. Also, discuss the role that seling expenses must have played in Keley's Beauty Products's difficulties First, let's calculate Kelley's gross profit and gross prott percentage. (Enter the grous profit percentage as a decimal rounded to three decimal places inter all other values to one decimal place.) Dollars in thousands 2016 2015 2017 Cost of sales Gross prole Gross prot percentage Consider the trends of sales, gross profit, and net income The sales the gross prole and the income Now calculate the rate of inventory tumover. (Round the average calculation to two decimal places. Round your answer to one decimal place) 2016 2015 Inventory tumor The gross profit percentage significantly while the rate of inventory turnover This suggests that Kelley's Beauty Products had to in 2017 its merchandise more and more just to sell the goods. The end Enter any number in the editels and then continue to the next question Consider the trends of sales, gross profit, and net income The sales the gross profit and the net income Now calculate the role of inventory tumover (Round the worage calculation to two decimal places. Round your answer to one decimal place) 2017 2016 2015 1 Inventory love significantly while thereof inventory turnover This sur les texty Products had to its marchandise more and more on the goods. The end The gross profit percentage in 2017 Selling expenses significantly, which suggests that eley's Beauty Products had to advertise W in order to its inventory Enter any number in the edit Melds and then continue to the next Question 5 7 of 20 (7 complete) 7. 2016, and 2015. The business has declared bankruptcy. You have been asked to review th Financial Information he gross 015 SCUSS the 9 Kelley's Beauty Products Ltd. all other Statement of Income For the Years Ended December 31, 2017, 2016, and 2015 Thousands 2017 2016 2015 Sales $ 41.7 $ 39.3 $ 36.7 Cost of sales. 33.5 31.0 28.7 Selling expenses 6.9 8.3 0.4 Other expenses 6.3 0.8 1.0 t incom Net income (net loss) (0.5) $ 0.4 $ 0.9 tion to Additional data: Ending Inventory $ Beginning inventory in 2015 was $6,500 9.3 $ 8.1 $ 7.5 invento Print Done to estion
