The following data have been extracted from the income statement of Llandilo Furniture Store.

	2017		2016
Net sales Cost of sales Profit Inventory (ending)	$	545 600 332 130 102 350 74 760		$	601 950 356 740 145 320 79 200

Required

A. Calculate the gross profit ratio, profit margin, and expenses to sales ratio for the years 2016 and 2017.

B. Assuming that the inventory at the beginning of 2016 is $63 300, calculate the inventory turn-over for 2016 and 2017.

C. Advise management on any trends in these ratios, and any actions you consider necessary.