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You want to own and operate a retail business and before you dive into your own retail store you decide to examine the inventory and
You want to own and operate a retail business and before you dive into your own retail store you decide to examine the inventory and sales of two publicly traded retailers. You were able to obtain the following summarized information for Satisfactory Goods Inc. and Money Refunded Ltd.: Satisfactory Goods Inc. $299,000 Beginning Inventory January 15 2019 Ending Inventory December 31, 2019 Ending Inventory December 31, 2020 Money Refunded Ltd. $559,000 $757.000 $586,000 $783,000 $4.527,008 $810,000 $1.260.405 Cost of Goods Sold December 31, 2019 Cost of Goods Sold December 31, 2020 $6.759.129 $3.504.900 Sales - 2019 $6.176.000 $3.785.000 Sales - 2020 $7,323,000 $5,007,000 Calculate the gross margin and gross margin ratio. (Round gross margin ratio to 1 decimal place, eg. 61.5%.) Satisfactory Goods Money 2019 2020 2019 Gross Margin $ $ $ Gross Margin Ratio 96 96 % e Textbook and Media Which of the two companies has the higher gross margin ratios? has the higher gross margin ratio. eTextbook and Media Calculate the inventory turnover ratio and days to sell inventory ratio for the two companies for two years. (Round inventory turnover ratio to 1 decimal place, eg. 61.5 and days in inventory to decimal places, eg. 125.) Satisfactory Goods Mo 2019 2020 2019 Inventory Turnover Ratio X x X Days in days days d: Inventory Which of the two companies is moving inventory faster? is moving inventory faster
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