[The following information applies to the questions displayed below.] Baskin-Robbins is one of the worlds largest specialty ice cream shops. The company offers dozens of different flavors, from Very Berry Strawberry to lowfat Espresso n Cream. Assume that a local Baskin-Robbins in Raleigh, North Carolina, has the following amounts for the month of July 2018.

Salaries expense	$13,300	Sales revenue	$67,800
Inventory (July 1, 2018)	2,100	Interest income	2,900
Sales returns	1,200	Cost of goods sold	28,500
Utilities expense	3,400	Rent expense	6,300
Income tax expense	5,600	Interest expense	500
		Inventory (July 31, 2018)	1,200
1. Prepare a multiple-step income statement for the month ended July 31, 2018. 2-a. Calculate the inventory turnover ratio for the month of July. 2-b. Would you expect this ratio to be higher or lower in December 2018? 3. Calculate the gross profit ratio for the month of July.