XYZ Retail Store is conducting a quarterly financial review:

• Compute Cost of Goods Sold (CGS):
  • Beginning Inventory: $200,000
  • Purchases: $1,000,000
  • Ending Inventory: $150,000

• Evaluate SG&A expenses:
  • Rent: $50,000
  • Depreciation: $30,000
  • Insurance: $10,000

• Calculate Gross and Operating Profit Margins.
• Recommend cost-cutting measures for SG&A.