Question: Refer to the data in E6-25A. Compute all ratio values to answer the following questions: ¢ Which company has the highest and which company has

Refer to the data in E6-25A. Compute all ratio values to answer the following questions:

€¢ Which company has the highest and which company has the lowest gross profit percentage?
€¢ Which company has the highest and which has the lowest rate of inventory turnover? Based on your figures, which company appears to be the most profitable?

Cost of Goods Gross Ending Company Arnold Donahue Allen Nugent Beginning Inventory $106,000 $19,000 27,000 Net Purchases $60,000 Net Sales Invento Sold Profit ry $17,000 26,000 132,000 (d 40,000 22,000 63,000 32,000 57,000 32,000 86,000 8,000 ) 35,000

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