COMPARATIVE ANALYSIS A1 AA 4-2 Key comparative figures for Apple and Google follow. Apple Google $ millions Net sales Current Year Prior Year Current Year $260,174 $265,595 $161,857 Cost of sales 161,782 163,756 71,896 Required 1. Compute the amount of gross margin and the gross margin ratio for the two years shown for each of these companies. 2. Which company earns more in gross margin for each dollar of net sales for the current year? 3. Does the company's current-year gross margin underperform or outperform the 35% industry average in the case of (a) Apple and (b) Google? 4. Is the change in the company's current-year gross margin favorable or unfavorable for (a) Apple and (b) Google? Prior Year $136,819 59,549