"On average, a firm sells $2,500,000 in merchandise a month. Its cost of goods sold equals 80 percent of sales, and it keeps inventory equal to one-half of its monthly cost of goods on hand at all times. If the firm analyzes its accounts using a 360-day year, what is the firm's inventory conversion period?" Group of answer choices a. 360 days b. 180 days c. 30 days d. 15 days e. 10 days

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A: The ratio is calculated to determine the relationship between 2 numbers. In accounting, Ratios are…

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A: C&A's weekly inventory turns = (No. of days x daily sales ) / Average inventory

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A: The inventory turnover ratio indicates how many times the inventory was sold. It also indicates the…

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A: The correct answer is Option (B).

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A: Average age of the inventory is described as the number of days the company requires to sell the…

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A: Inventory Turnover Ratio = Cost of Goods Sold/ Average Inventory…

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A: Given,  Current year net sales = $802,213 Prior year net sales = $453.350

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A: Inventory turnover = Cost of goods sold / Average inventory where, Average inventory  = (Beginning…

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A: The inventory turnover ratio tells about the efficiency of the company to convert its inventory into…

Q: Consider the following data determined from the financial statements of a major retailer: Inventory…

A: As we've given, Days' sales outstanding = 30 days Days' purchase outstanding = 50 days Inventory…

Q: A company had an average inventory last year of $180,000 and its inventory turnover was 5. If sales…

A: Inventory Turnover Ratio: Inventory turnover refers to the pace at which inventory stock is sold,…

Q: A company wishes to improve efficiency and have 28 days in inventory. If COGS is forecasted as…

A: The average inventory amount can be found by using the inventory turnover ratio where the cost of…

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A: The inventory turnover ratio is calculated as cost of goods sold divided by average inventory.

Q: Annual sales: $85,000 Average inventory: $12,000 Question1: Find the inventory turnover based upon…

A: Inventory turnover = Annual salesAverage inventory

Q: A. What is the monthly inventory turnover ratio for each of the twelve months for 2013? Round your…

A:

Q: Use the following information to determine the Prior Year and Current Year trend percents for net…

A: Formula: Trend Percentage = Current year sales / prior year sales Division of current year sales…

Q: if the cost of goods sold is $ 400,000 and credit purchases is $250,000, the inventory balance at…

A: Inventory days turnover is calculated by dividing the number of days in a year by inventory turnover…

Q: What is the inventory turnover ratio for Fair Isle Inc. for 2020 if the inventory at the beginning…

A: The inventory turnover ratio indicates the number of times inventory turns to sales. It can be…

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A: Lets understand the basics. Inventory turnover ratio is a ratio which indicates how many time…

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A: Inventory turnover and number of days sales in inventory are two important financial metrics used by…

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A: Operating cycle = DIO+DSOwhereDIO = days inventory outstandingDSO = days sales outstanding

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A: Inventory Turnover = Cost of goods soldAverage Inventory Days' Sales in Inventory = InventoryCost of…

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A: Inventory refers to the goods or items which are stored by the business either for selling or for…

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A: The inventory turnover ratio means how many times a company needs to replenish the average inventory…

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A: The inventory turnover ratio is used to compare the efficiency of inventories which are used for the…