Application Problem 12-12A a (Basic strategies) You are considering investing in the retail sector and have identified two companies for further analysis. Financial information for the two companies is as follows: (in thousands) Sales Cost of goods sold Net income Average inventory Average total assets Company A $1,216,000 644,480 100,200 214,900 824,303 Company B $1,421,000 9 52,070 65,000 152,200 534,727 (a) Calculate and compare the following ratios for the two companies: (Round answers to 1 decimal place, e.g. 18.4 or 15.3%.) i. Return on assets ii. Gross margin iii. Profit margin iv. Inventory turnover V. Days to sell inventory Company A Company B Return on assets Gross margin Profit margin Inventory turnover times times Days to sell inventory days days