Question: CVS uses the Average Costs inventory method. Note that CVS also has businesses that are not related to retail pharmacy. Using reported data from CVS's

CVS uses the Average Costs inventory method. Note that CVS also has businesses that are not related to retail pharmacy. Using reported data from CVS's financial statements compute Gross profit margin, Return on equity and Inventory turnover if CVS had used the LIFO inventory method. For each ratio, use the methods you deem most appropriate and justify your choice. (To convert Average Costs inventory method to LIFO you need the inflation rate for each year. Assume that the inflation rate of CVS is 7.02%).

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