Inventory Management. The following financial information is taken from the annual report of Intel Corporation: (amounts in millions) Year 2 Year 1 $40,826 $36,209 16,777 15,463 3,126 2,621 Net revenues Cost of goods sold Ending inventories Using the above data, calculate the company's inventory turnover, inventory-on-hand period, and gross profit percentage for Year 1 and Year 2. Round all answers to nearest one decimal place. Year 2 Year 1 Inventory turnover Inventory-on-hand period Gross profit percentage 0 0 0% 0 0 0% Is the company's inventory management improving? → Intel uses FIFO to value its inventory. Would these ratios look better if the company used LIFO instead?
Inventory Management. The following financial information is taken from the annual report of Intel Corporation: (amounts in millions) Year 2 Year 1 $40,826 $36,209 16,777 15,463 3,126 2,621 Net revenues Cost of goods sold Ending inventories Using the above data, calculate the company's inventory turnover, inventory-on-hand period, and gross profit percentage for Year 1 and Year 2. Round all answers to nearest one decimal place. Year 2 Year 1 Inventory turnover Inventory-on-hand period Gross profit percentage 0 0 0% 0 0 0% Is the company's inventory management improving? → Intel uses FIFO to value its inventory. Would these ratios look better if the company used LIFO instead?
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:Inventory Management.
The following financial information is taken from the annual report of Intel Corporation:
(amounts in millions) Year 2
Year 1
$40,826 $36,209
16,777 15,463
3,126 2,621
Net revenues
Cost of goods sold
Ending inventories
Using the above data, calculate the company's inventory turnover, inventory-on-hand period, and
gross profit percentage for Year 1 and Year 2.
Round all answers to nearest one decimal place.
Year 2
Year 1
Inventory turnover
Inventory-on-hand period
Gross profit percentage
0
0
0%
0
0
0%
Is the company's inventory management improving?
Intel uses FIFO to value its inventory. Would these ratios look better if the company used LIFO
instead?
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