Exercise 5-17 (Algo) Analyzing inventory errors LO A2 Vibrant Company had $1,010,000 of sales in each of Year 1, Year 2, and Year 3, and it purchased merchandise costing $555,000 in each of those years. It also maintained a $310,000 physical inventory from the beginning to the end of that three-year period. In accounting for inventory, it made an error at the end of Year 1 that caused its Year 1 ending inventory to appear on its statements as $290,000 rather than the correct $310,000. 1. Determine the correct amount of the company's gross profit in each of Year 1, Year 2, and Year 3. 2. Prepare comparative income statements to show the effect of this error on the company's cost of goods sold and gross profit for each of Year 1, Year 2, and Year 3. Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. Determine the correct amount of the company's gross profit in each of Year 1, Year 2, and Year 3 . Complete this question by entering your answers in the tabs below. Prepare comparative income statements to show the effect of this error on the company's cost of goods sold and gross profit for each of Year 1, Year 2 , an Exercise 5-19 (Algo) Inventory turnover and days' sales in inventory LO A3 The following is information for Palmer Company. Use the above information to compute inventory turnover for Year 3 and Year 2, and its days' sales in inventory at December 31, Year 3 and Year 2. From Year 2 to Year 3, did Palmer improve its (a) inventory turnover and (b) days' sales in inventory