Consider the Strategic Profit Model below using the information given in the financial information. Which one of the following two options results in a larger improvement in ROA $-$ reducing the inventory by $15\%$ or reducing the COGS by $15\%($Note: Both options are to be assessed separately from the base case$).(10$ marks$)($CO$1)($L$3)$ Income statement, $2021$ SALES $4,003,450$ COGS $937,000$ GROSS MARGIN $(?)------------------------------$ TRANSPORTATION COST $657,322$ WAREHOUSING COST $735,982$ INVENTORY CARRYING COST $567,987$ OTHER OPERATING COSTS $345,876$ TOTAL OPERATING COSTS $(?)-------------------------------$ EBIT $(?)------------------------------$ INTEREST $110,000$ TAX $69,000$ NET INCOME $(?)-------------------------------$ Balance Sheet, $2021$ ASSETS CASH $706,034$ AR $355,450$ INVENTORY $1,590,435$ TOTAL CURRENT ASSETS $(?)------------------------------$ NET FIXED ASSETS $803,056$ TOTAL ASSETS $(?)-------------------------------$ LIABILITIES CURRENT LIABILITIES $1,678,589$ LONG$-$TERM DEBT $398,060$ TOTAL LIABILITIES $(?)-------------------------------$ SHAREHOLDERS$$ EQUITY $1,378,326$ TOTAL LIABILITIES & EQUITY $3,454,975$ Page $2$ of $8$ a$.$ Strategic profit model: Reducing the inventory by $15\%$ b$.$ Strategic profit model: Reducing the COGS by $15\%$