Refer to the consolidated financial statements for Aritzia Inc. reproduced in Appendix A.

Instructions
a. How does Aritzia value its inventory?
b. Which inventory cost formula does Aritzia use?
c. Would using the specific identification cost determination method be appropriate for an organization like Aritzia? Explain.
d. For 2020 and 2019, calculate Aritzia’s inventory as a percentage of current assets and its cost of sales as a percentage of net revenue. Comment on the results.
e. Aritzia’s inventory turnover and days sales in inventory were calculated for 2020 in this chapter in Illustrations 6.20 and 6.21, respectively. Calculate these same two ratios for 2019. The balance in inventory on February 25, 2018, was $78,833. Comment on whether Aritzia’s management of its inventory improved or weakened in 2020.