Inventory Turnover and Days' Sales in Inventory The Southern Company installed a new inventory management system at the beginning of 2015. Shown below are data from the company's accounting records as reported out by the new system: 2015 2016 Sales Revenue Cost of Goods Sold 4,000,000 4,800,000 Beginning Inventory 510,000 53,000 Ending Inventory 530,000 600,000 $8,000,000 $11,000,000 Calculate the company's inventory turnover for 2015 and 2016. Round your answer to two decimal points. 2015 2016 Inventory turnover
Inventory Turnover and Days' Sales in Inventory The Southern Company installed a new inventory management system at the beginning of 2015. Shown below are data from the company's accounting records as reported out by the new system: 2015 2016 Sales Revenue Cost of Goods Sold 4,000,000 4,800,000 Beginning Inventory 510,000 53,000 Ending Inventory 530,000 600,000 $8,000,000 $11,000,000 Calculate the company's inventory turnover for 2015 and 2016. Round your answer to two decimal points. 2015 2016 Inventory turnover
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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
Transcribed Image Text:Inventory Turnover and Days' Sales in Inventory The Southern Company
installed a new inventory management system at the beginning of 2015.
Shown below are data from the company's accounting records as reported
out by the new system:
2015
2016
Sales Revenue
Cost of Goods Sold 4,000,000 4,800,000
Beginning Inventory 510,000 53,000
Ending Inventory 530,000 600,000
$8,000,000 $11,000,000
Calculate the company's inventory turnover for 2015 and 2016.
Round your answer to two decimal points.
2015
2016
Inventory turnover
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