Final answer:
Sure, I'd be happy to help you calculate these financial ratios for Mortadella Company using the provided information. However, it seems like you haven't included the necessary details like the cost of goods sold (COGS) or the average inventory for the years 2022 and 2023. These figures are essential for calculating the inventory turnover ratio, gross margin, and the number of days' sales in inventory ratio.
Step-by-step explanation:
The subject of this question is related to Business, specifically dealing with financial ratios that are key indicators of a company's operational performance.
In order to calculate the inventory turnover ratio, gross margin, and the number of days' sales in inventory ratio, specific financial data from the Mortadella Company is needed for the years 2022 and 2023.
The question also refers to calculating the merchandise balance and the current account balance, but since the necessary data is not provided, these calculations cannot be completed.
For educational purposes, here are the formulas and a brief explanation for each:
- Inventory Turnover Ratio = Cost of Goods Sold / Average Inventory
- Gross Margin = (Net Sales - Cost of Goods Sold) / Net Sales
- Days' Sales in Inventory Ratio = (Ending Inventory / Cost of Goods Sold) x 365
To apply these formulas correctly, you would need the corresponding financial figures such as net sales, cost of goods sold, beginning inventory, ending inventory, and other relevant accounting data.
The complete question is:content loaded
Use the following information relating to Mortadella Company to calculate the inventory turnover ratio, gross margin, and the number of days' sales in inventory ratio, for years 2022 and 2023. (