QS 4-23 Computing and analyzing gross margin ratio A1 (a) Compute net sales, gross profit, and the gross margin ratio for each of the four separate companies. (b) Which company has the best gross margin ratio? Sales ..... Sales discounts. Sales returns and allowances Cost of goods sold .... Carrier $150,000 5,000 20,000 79,750 Lennox $550,000 17.500 6,000 329,589 Trane $38,700 600 5,100 24,453 York $255,700 4,800 900 126,500