Kracker Corp., Foodstuff, Inc., and Winston Stores, Inc. are three grocery chains in the United States. Inventory management is an important aspect of the grocery retail business. Recent balance sheets for these three companies indicated the following merchandise inventory (in millions) information: KrackerCorp.FoodstuffInc.WinstonStoresCost of merchandise sold$33,580.0$33,215.0$35,405.0Inventory, beginning of year1,951.32,042.01,498.7Inventory, end of year1,912.71,962.01,411.3a. & b. Determine the inventory turnover and the number of days’ sales in inventory (use 365 days and round to the nearest day) for the three companies. Round all interim calculations to one decimal place. For days' sales in inventory, round final answers to the nearest day, and for inventory turnover, round to one decimal place.

Name: Kracker Corp., Foodstuff, Inc., and Winston Stores, Inc. are three gro
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Description: Kracker Corp., Foodstuff, Inc., and Winston Stores, Inc. are three grocery chains in the United States. Inventory management is an important aspect of the grocery retail business. Recent balance sheets for these three companies indicated the followin

Inventory turnover is computed by dividing the cost of goods sold by the average inventory. Average…

Answered: Kracker Corp., Foodstuff, Inc., and…

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter9: Metric-analysis Of Financial Statements

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Kracker Corp., Foodstuff, Inc., and Winston Stores, Inc. are three grocery chains in the United States. Inventory management is an important aspect of the grocery retail business. Recent balance sheets for these three companies indicated the following merchandise inventory (in millions) information:

	Kracker Corp.	Foodstuff Inc.	Winston Stores
Cost of merchandise sold	$33,580.0	$33,215.0	$35,405.0
Inventory, beginning of year	1,951.3	2,042.0	1,498.7
Inventory, end of year	1,912.7	1,962.0	1,411.3

a. & b. Determine the inventory turnover and the number of days’ sales in inventory (use 365 days and round to the nearest day) for the three companies. Round all interim calculations to one decimal place. For days' sales in inventory, round final answers to the nearest day, and for inventory turnover, round to one decimal place.

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