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-McConnells' gross profit ..... are both (less/more than) the industry average, which indicates a(n) (favorable/unfavorable) profit...

-the company showed a slightly (lower/higher) investment ......... debt to total assets is (higher/lower) than the industry, which would generally indicate a (weaker/stronger) financial positon...

The Ambrose Department Stores, Inc. chief executive officer (CEO) has asked you to compare the company's profit performance and financial position with the averages for the industry. The CEO has given you the company's income statement and balance sheet as well as the industry average data for retailers. (Click the icon to view the income statement.) : (Click the icon to view the balance sheet.) Read the requirements. Requirement 1. Prepare a vertical analysis for Ambrose for both its income statement and balance sheet. Begin by preparing a vertical analysis for Ambrose for its income statement. (Round the percent of total amounts to one decimal place, X.X%.) Data Table - Ambrose Department Stores, Inc. Income Statement Year Ended December 31, 2018 Amount Percent of Total X Data Table $ 776,000 524,576 Net Sales Revenue Cost of Goods Sold Gross Profit Operating Expenses Operating Income Other Expenses 251,424 158,304 Ambrose Department Stores, Inc. Balance Sheet Compared with Industry Average December 31, 2018 Industry Ambrose Average Ambrose Department Stores, Inc. Income Statement Compared with Industry Average Year Ended December 31, 2018 Industry Ambrose Average $ 93,120 4,656 88,464 Current Assets Property, Plant, and Equipment, Net Intangible Assets, Net 70.9 % 23.6 0.8 $ 303,300 116,100 6,750 23,850 776,000 524,576 100.0 % 65.8 Net Income Other Assets Net Sales Revenue Cost of Goods Sold Gross Profit Operating Expenses Operating Income Other Expenses 251,424 158,304 $ 19.7 100.0 % 450,000 Total Assets 93,120 4,656 14.5 0.4 Current Liabilities $ 206,100 103,500 $ 88,464 14.1% Long-term Liabilities Net Income Total Liabilities 309,600 140.400 16.6 64.7 35.3 Stockholders' Equity Print Done $ 450,000 100.0 % Total Liabilities and Stockholders' Equity 0 Requirements - X Print Done 1. Prepare a vertical analysis for Ambrose for both its income statement and balance sheet. 2. Compare the company's profit performance and financial position with the average for the industry. Print Done Requirement 2. Compare the company's profit performance and financial position with the average for the industry. McConnell's gross profit percentage and profit margin ratio are both the industry average, which indicates a(n) profit performance as compared with the industry. The company showed a slightly investment in fixed and intangible assets than the industry average. The company's percentage of debt to total assets is than the industry, which would generally indicate a financial position than the average for the industry