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Brief Exercise 6-16 Calculate inventory ratios (LO6-7) Use the following information: Net sales $ 175,000 Cost...

Brief Exercise 6-16 Calculate inventory ratios (LO6-7)

Use the following information:

Net sales $ 175,000
Cost of goods sold 120,000
Beginning inventory 40,000
Ending inventory 30,000

a. Calculate the inventory turnover ratio. (Round your answer to 1 decimal place.)

b. Calculate the average days in inventory. (Assume 365 days in a year. Round your intermediate calculations and final answer to 1 decimal place.)

c. Calculate the gross profit ratio. (Round your answer to 2 decimal place.)

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