Styles, Inc., a clothing manufacturer, reported the information given below over a three-year period.

(a) Compute the firm’s profit margin, asset turnover, day’s sales in inventory, fixed asset turnover, and return on assets for each year shown.
(b) Discuss the company’s operating strategy over this timeperiod.

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2005 2004 Sales Net income Total assets Inventory Cost of goods sold Fixed assets $ 9,000 1,683 20,036 1,500 5,500 4,000 6,000 852 10,650 960 3,500 2,500 2003 $3,000 288 3,692 500 1,800 1,500