Anthony Thomas Candies (ATC) reported the following financial data for 2018 and 2017:
2018 2017
Sales $ 308,000 $ 303,000
Sales returns and allowances 9,000 4,700
Net sales $ 299,000 $ 298,300
Cost of goods sold:
Inventory, January 1 51,000 20,000
Net purchases 151,000 144,000
Goods available for sale 202,000 164,000
Inventory, December 31 76,000 51,000
Cost of goods sold 126,000 113,000
Gross profit $ 173,000 $ 185,300
Required:
1. ATC's gross profit ratio (rounded) in 2018 is . (Round your answer to one decimal place e. g., 0.123 as 12.3%.)