3. Tree and Shrub Nursery has a store inventory that is one half the recommended inventory turnover for the nursery business. Their average inventory is $7,300. Annual sales were $21,600. (A) Find their inventory turnover based upon annual sales. (B) What is the recommended inventory turnover? (C) What total annual sales are necessary to meet the recommended inventory turnover if the average inventory remains $7,300?

3. Tree and Shrub Nursery has a store inventory that is one half the recommended inventory turnover for the nursery business. Their average inventory is $7,300. Annual sales were $21,600. (A) Find their inventory turnover based upon annual sales. (B) What is the recommended inventory turnover? (C) What total annual sales are necessary to meet the recommended inventory turnover if the average inventory remains $7,300?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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