# Check my workCheck My Work button is now enabled3Item10Item 10 10 pointsPA7-3 Calculating and Interpreting the Inventory Turnover Ratio and Days to Sell [LO 7-5]Haymitch Global Industries is a world leading producer of loudspeakers and other electronics products, which are sold under brand names like JRH, Excelsior, and Haymitch/Krug. The company reported the following amounts in its financial statements (in millions):  2016 2015Net Sales\$4,900  \$4,960 Cost of Goods Sold 3,800   3,550 Beginning Inventory 480   400 Ending Inventory 590   480    Required:Determine the inventory turnover ratio and average days to sell inventory for 2016 and 2015. (Use 365 days in a year. Round your intermediate and final answers to 1 decimal place.)

Question
109 views
Check my workCheck My Work button is now enabled3

# Item10

Item 10 10 points

## PA7-3 Calculating and Interpreting the Inventory Turnover Ratio and Days to Sell [LO 7-5]

Haymitch Global Industries is a world leading producer of loudspeakers and other electronics products, which are sold under brand names like JRH, Excelsior, and Haymitch/Krug. The company reported the following amounts in its financial statements (in millions):

 2016 2015 Net Sales \$ 4,900 \$ 4,960 Cost of Goods Sold 3,800 3,550 Beginning Inventory 480 400 Ending Inventory 590 480

Required:

1. Determine the inventory turnover ratio and average days to sell inventory for 2016 and 2015. (Use 365 days in a year. Round your intermediate and final answers to 1 decimal place.)

check_circle

Step 1

Calculate the average inventory for the year 2015:

Step 2

Calculate the inventory turnover ratio for the year 2015:

Step 3

Calculate the average number of days to sell inv...

### Want to see the full answer?

See Solution

#### Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour.*

See Solution
*Response times may vary by subject and question.
Tagged in