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The following accounting information pertains to Boardwalk Taffy and Beach Sweets. The only difference between the two companies is that Boardwalk Taffy uses FIFO, while Beach Sweets uses LIFO. Boardwalk Taffy 70,000 Beach Sweets 70,000 350,000 202,000 235,000 1,272,600 300,000 2,000,000 Cash Accounts receivable Merchandise inventory Accounts payable Cost of goods sold Building 350,000 250,000 235,000 1,375,000 300,000 2,000,000 Sales Required a-1. Compute the gross margin percentage for each company. a-2. Identify the company that appears to be charging the higher prices in relation to its cost. b-1. For each company, compute the inventory turnover ratio and the average days to sell inventory. b-2. Identify the company that appears to be incurring the higher financing cost. Required A1 Required A2 Required B1 Required B2 Compute the gross margin percentage for each company. (Round your answers to 1 decimal place.) Gross Margin Boardwalk Taffy % Beach Sweets Required A1 Required A2 > Required B1 Required A1 Required B2 Required A2 Identify the company that appears to be charging the higher prices in relation to its cost. Higher prices Required B1 Required B2 Required A1 Required A2 For each company, compute the inventory turnover ratio and the average days to sell inventory. (Use 365 Round your "Inventory Turnover Ratios" to 1 decimal place and all other answers to the nearest whole num Inventory Average Days Turnover Ratios times times Boardwalk Taffy days days Beach Sweets Required A1 Required A2 Required B1 Required B2 Identify the company that appears to be incurring the higher financing cost. Higher financing cost

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