Please explain this financial accounting problem with accurate financial standards. A company, greenstick Industries, had an average inventorylast yearof $350,000 and its inventory turnover was 8. If salesvolume and unit cost remain the same this year as last andinventory turnover is 10 this year, what will average inventoryhave to be during the current year?

Step 1: Definition of Inventory TurnoverInventory turnover is a financial ratio that measures how…

Answered: A company, greenstick Industries, had…

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter3: Evaluation Of Financial Performance

Section: Chapter Questions

Problem 14P

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Assume your company uses the periodic inventory costing method, and the inventory count left out an entire warehouse of goods that were in stock at the end of the year, with a cost value of $222,000. How will this affect your net income in the current year? How will it affect next years net income?
Last year, Nikkola Company had net sales of 2,299,500,000 and cost of goods sold of 1,755,000,000. Nikkola had the following balances: Refer to the information for Nikkola Company above. Required: Note: Round answers to one decimal place. 1. Calculate the average inventory. 2. Calculate the inventory turnover ratio. 3. Calculate the inventory turnover in days. 4. CONCEPTUAL CONNECTION Based on these ratios, does Nikkola appear to be performing well or poorly?
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Bobaflex Corporation has endinginventory of $527,156 and cost of goods sold for the year just ended was$8,543,132. What is the inventory turnover? The days’ sales in inventory?How long on average did a unit of inventory sit on the shelf before it wassold?
b) A company had an average inventory last year of $180,000 and its inventory turnover was 5. If sales volume and unit cost remain the same this year as last and inventory turnover is 8 this year, what will average inventory have to be during the current year? (Round answer to 0 decimal places, e.g. 125.) Average Inventory $enter the average inventory in dollars rounded to 0 decimal places
If your cost of goods sold for the year was $825,000, with beginning inventory of $240,000 and ending inventory of $260,000, what is the inventory turnover ratio?
What are the annual inventory holding costs incurred by the manufacturer?
Assume a firm's inventory level of $11,500 represents 33 days of sales. What is the annual cost of goods sold? and what is the inventory turnover ratio?
Vaughn Manufacturing had January 1 inventory of $300000 when it adopted dollar-value LIFO. During the year, purchases were $1850000 and sales were $2930000. December 31 inventory at year-end prices was $435480, and the price index was 114.What is Vaughn Manufacturing’s gross profit?
Last year, Jumpin' Trampolines (JT) had a quick ratio of 1.0, a current ratio of 1.8, an inventory turnover of 3.5, total current assets of $67,500, and cash and equivalents of $15,00. If the cost of goods sold equaled 70 percent of sales, what were JT's annual sales and DSO?

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A company, greenstick Industries, had an average inventory last year of $350,000 and its inventory turnover was 8. If sales volume and unit cost remain the same this year as last and inventory turnover is 10 this year, what will average inventory have to be during the current year?