Dell Incorporated is the leading manufacturer of personal computers. In a recent year, it reported thefollowing in millions of dollars:Net sales revenueCost of salesBeginning inventoryEnding inventoryRequired:$ 76,29159,7441,8701,810Determine the inventory turnover ratio and average days to sell inventory for the current year.Note: Use 365 days a year. Round "Inventory turnover" to 2 decimal places and "Average days to sellinventory" to 1 decimal place.Inventory turnoverAverage days to sell inventorydays

The first step in calculating the inventory turnover ratio is to find the average inventory for the…

Answered: Dell Incorporated is the leading…

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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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?
The following selected information is taken from the financial statements of Arnn Company for its most recent year of operations: During the year, Arnn had net sales of 2.45 million. The cost of goods sold was 1.3 million. Required: Note: Round all answers to two decimal places. 1. Compute the current ratio. 2. Compute the quick or acid-test ratio. 3. Compute the accounts receivable turnover ratio. 4. Compute the accounts receivable turnover in days. 5. Compute the inventory turnover ratio. 6. Compute the inventory turnover in days.
Dell Incorporated is the leading manufacturer of personal computers. In a recent year, it reported the following in millions of dollars: Net sales revenue Cost of sales Beginning inventory Ending inventory $ 76,141 58,344 1,700 1,880 Required: Determine the inventory turnover ratio and average days to sell inventory for the current year. Note: Use 365 days a year. Round "Inventory turnover" to 2 decimal places and "Average days to sell inventory" to 1 decimal place. Inventory turnover Average days to sell inventory days
Sheldon Inc. is the leading manufacturer of personal computers. In a recent year, it reported the following in dollars in millions: Net sales revenue $ 61,161 Cost of sales 50,444 Beginning inventory 1,280 880 Ending inventory Determine the inventory turnover ratio and average days to sell inventory for the current year. (Use 365 days a year).
ANSWER
On average, a firm sells $2,000,000 in merchandise a month. It keeps inventory equal to one-half of its monthly sales on hand at all times. If the firm analyzes its accounts using a 365-day year, what is the firm’s inventory conversion period (ICP)? (Hint: ICP = 365/(sales/inventory)
Jing Inc
The grocery industry has an annual inventory turnover of about 13 times. Organic Grocers, Inc., had a cost of goods sold last year of $11,310,000; its average inventory was $993,980. What was Organic Grocers' inventory turnover, and how does that performance compare with that of the industry? a) What was Organic Grocers' inventory turnover? times per year (round your response to two decimal places).
On January 1, Veltron International has inventory worth $599,900 at cost. At the end of the year, the cost value of the inventory was $173,200. If annual cost of goods sold was $1,609,170, find the inventory turnover at cost for the year. Round your answer to the nearest tenth. Need Help? Read It Watch It Master It
General Account post
Endor Company begins the year with $90,000 of goods in inventory. At year-end, the amount in inventory has increased to $103,000. Cost of goods sold for the year is $600,000. Compute Endor's inventory turnover and days' sales in inventory. Assume there are 365 days in the year. Inventory Turnover Choose Numerator: Choose Denominator: Inventory Turnover Inventory Turnover times Days' Sales in Inventory Choose Numerator: Choose Denominator: Days = Days' Sales in Inventory 365 Days' sales in inventory 365 days
A company reports the following: Cost of goods sold $585,825 Average inventory 78,110 Determine (a) the inventory turnover and (b) the number of days' sales in inventory. Round interim calculations to the nearest dollar and final answers to one decimal place. Assume 365 days a year. a. Inventory turnover b. Number of days' sales in inventory days

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