Homework Help is Here – Start Your Trial Now!
Business
Accounting
Magnolia Company's inventory at January 1, 2020 was $7,600, and at December 31, 2020 the company had $4,400 of inventory. During the year Magnolia bought $51,000 more inventory. Sales for 2020 were $125,000, and $122,000 of those sales were for cash and $3,000 was on account. What was Magnolia's 2020 inventory turnover? 2.31 2.15 O 9.03 O 2.25 O None of the above

Magnolia Company's inventory at January 1, 2020 was $7,600, and at December 31, 2020 the company had $4,400 of inventory. During the year Magnolia bought $51,000 more inventory. Sales for 2020 were $125,000, and $122,000 of those sales were for cash and $3,000 was on account. What was Magnolia's 2020 inventory turnover? 2.31 2.15 O 9.03 O 2.25 O None of the above

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

Please help me with this accounting homework question, I am having so much trouble. It deals with ratios.

Magnolia Company's inventory at January 1, 2020 was $7,600, and at December 31, 2020 the company had $4,400 of inventory. During the year Magnolia bought $51,000 more inventory. Sales for 2020 were $125,000, and $122,000 of those sales were for cash and $3,000 was on account. What was Magnolia's 2020 inventory turnover? 2.31 2.15 9.03 O 2.25 None of the above
Transcribed Image Text:Magnolia Company's inventory at January 1, 2020 was $7,600, and at December 31, 2020 the company had $4,400 of inventory. During the year Magnolia bought $51,000 more inventory. Sales for 2020 were $125,000, and $122,000 of those sales were for cash and $3,000 was on account. What was Magnolia's 2020 inventory turnover? 2.31 2.15 9.03 O 2.25 None of the above
Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Basic Accounting Terms
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS