Refer to following financial information from a company. Compute the company's inventory turnover for Year 2. Year 2 Year 1 Cash $ 38,800 $ 33,550 Short term investments 103,000 66,500 Accounts receivable, net 92,000 86,000 Merchandise inventory 127,500 131,500 Prepaid expenses 13,400 11,000 Plant assets 394,500 344,500 Accounts payable 106,900 114,300 Net sales 717,500 682,500 Cost of goods sold 396,500 381,500 Answer: A. 3.02 B. 3.11 C. 5.63 D. 3.58 E. 3.06
Refer to following financial information from a company. Compute the company's inventory turnover for Year 2. Year 2 Year 1 Cash $ 38,800 $ 33,550 Short term investments 103,000 66,500 Accounts receivable, net 92,000 86,000 Merchandise inventory 127,500 131,500 Prepaid expenses 13,400 11,000 Plant assets 394,500 344,500 Accounts payable 106,900 114,300 Net sales 717,500 682,500 Cost of goods sold 396,500 381,500 Answer: A. 3.02 B. 3.11 C. 5.63 D. 3.58 E. 3.06
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter6: Cost Of Goods Sold And Inventory
Section: Chapter Questions
Problem 27CE: Inventory Analysis Singleton Inc. reported the following information for the current year: Required:...
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Refer to following financial information from a company. Compute the company's inventory turnover for Year 2.
| Year 2 | Year 1 | |
|
Cash |
$ 38,800 | $ 33,550 |
| Short term investments | 103,000 | 66,500 |
| Accounts receivable, net | 92,000 | 86,000 |
| Merchandise inventory | 127,500 | 131,500 |
| Prepaid expenses | 13,400 | 11,000 |
| Plant assets | 394,500 | 344,500 |
| Accounts payable | 106,900 | 114,300 |
| Net sales | 717,500 | 682,500 |
| Cost of goods sold | 396,500 | 381,500 |
Answer:
A. 3.02
B. 3.11
C. 5.63
D. 3.58
E. 3.06
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