Assuming that all net sales figures are at retail and all cost of goods sold figures are at cost, calculate the average inventory and inventory turmover for the following. If the actual turnover is less than the published rate, calculate the target average inventory necessary to come up to industry standards. Enter "above" (without the quotes) for the target inventory if it is more than the published rate. Round inventories to the nearest dollar and inventory turnover to the nearest tenth. Cost of Beginning Ending Average Inventory Published Target Average Net Sales Goods Sold Inventory Inventory Inventory Turnover Rate Inventory $378,000 $49,000 $56,000 $ 52500 7.2 5.2
Assuming that all net sales figures are at retail and all cost of goods sold figures are at cost, calculate the average inventory and inventory turmover for the following. If the actual turnover is less than the published rate, calculate the target average inventory necessary to come up to industry standards. Enter "above" (without the quotes) for the target inventory if it is more than the published rate. Round inventories to the nearest dollar and inventory turnover to the nearest tenth. Cost of Beginning Ending Average Inventory Published Target Average Net Sales Goods Sold Inventory Inventory Inventory Turnover Rate Inventory $378,000 $49,000 $56,000 $ 52500 7.2 5.2
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![Assuming that all net sales figures are at retail and all cost of goods sold figures are at cost, calculate the average inventory and inventory turmover for
the following. If the actual turnover is less than the published rate, calculate the target average inventory necessary to come up to industry standards.
Enter "above" (without the quotes) for the target inventory if it is more than the published rate. Round inventories to the nearest dollar and inventory
turnover to the nearest tenth.
Cost of
Beginning
Ending
Average
Inventory
Published
Target Average
Net Sales
Goods Sold
Inventory
Inventory
Inventory
Turnover
Rate
Inventory
$378,000
$49,000
$56,000
$ 52500
7.2
5.2](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F8f1d10cb-2049-49a1-99f3-8859a98fe3db%2F838e08d2-186d-421d-b8d8-34c8ed12af55%2Fhdxubt_processed.png&w=3840&q=75)
Transcribed Image Text:Assuming that all net sales figures are at retail and all cost of goods sold figures are at cost, calculate the average inventory and inventory turmover for
the following. If the actual turnover is less than the published rate, calculate the target average inventory necessary to come up to industry standards.
Enter "above" (without the quotes) for the target inventory if it is more than the published rate. Round inventories to the nearest dollar and inventory
turnover to the nearest tenth.
Cost of
Beginning
Ending
Average
Inventory
Published
Target Average
Net Sales
Goods Sold
Inventory
Inventory
Inventory
Turnover
Rate
Inventory
$378,000
$49,000
$56,000
$ 52500
7.2
5.2
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