A manufacturing company reports the following information. Current Year 1 Year Ago $ 165,000 $191,800 1,962,400 2,538,900 Raw materials inventory, ending Raw materials used Required: 1. Compute raw materials inventory turnover for the most recent two years. 2. Is the current year change in raw materials inventory turnover ratio favorable or unfavorable? 3. Compute days' sales in raw materials inventory for the current year. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute raw materials inventory turnover for the most recent two years. Current year 1 Year Ago Raw materials inventory turnover 2 Years Ago $ 198,800 2,895,000 < Required 1 Required 2 >
A manufacturing company reports the following information. Current Year 1 Year Ago $ 165,000 $191,800 1,962,400 2,538,900 Raw materials inventory, ending Raw materials used Required: 1. Compute raw materials inventory turnover for the most recent two years. 2. Is the current year change in raw materials inventory turnover ratio favorable or unfavorable? 3. Compute days' sales in raw materials inventory for the current year. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Compute raw materials inventory turnover for the most recent two years. Current year 1 Year Ago Raw materials inventory turnover 2 Years Ago $ 198,800 2,895,000 < Required 1 Required 2 >
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:A manufacturing company reports the following information.
Current Year
$ 165,000
1,962,400
Raw materials inventory, ending
Raw materials used
Required:
1. Compute raw materials inventory turnover for the most recent two years.
2. Is the current year change in raw materials inventory turnover ratio favorable or unfavorable?
3. Compute days' sales in raw materials inventory for the current year.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2 Required 3
1 Year Ago
$191,800
2,538,900
Compute raw materials inventory turnover for the most recent two years.
Raw materials inventory turnover
Current year
< Required 1
2 Years Ago
$ 198,800
2,895,000
1 Year Ago
Required 2 >
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