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XYZ Fashion Retail sells high-end clothing. Financial data for 2023 is provided below: Ledgers (in $ millions) Amount Beginning Inventory 15.0 Purchases of Merchandise 75.0

XYZ Fashion Retail sells high-end clothing. Financial data for 2023 is provided below:

Ledgers (in $ millions)

Amount

Beginning Inventory

15.0

Purchases of Merchandise

75.0

Sales Revenue

150.0

Operating Expenses

50.0

Income Tax Expense

10.0

Requirements:

  • Prepare XYZ Fashion Retail's income statement for the year ended December 31, 2023.
  • Calculate the Gross Profit and Operating Income.
  • Determine the Net Income after taxes.
  • Analyze XYZ Fashion Retail's financial performance relative to industry benchmarks.
  • Recommend strategies to enhance XYZ Fashion Retail's profitability and market competitiveness.

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