What do you think would happen to the two ratios


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o Suppose that a manufacture wanted to dive headlong into a new market. For example, consider the MICROSOFT SURFACE tablet.

o Naturally, one could expect a lower gross profit margin, considering aggressive (lower) pricing.

o Now consider two ratios--fixed asset turnover and inventory turnover. What do you think would happen to those two ratios, when the manufacturer attempts to "buy market share?"

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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