The following data (in millions) were taken from recent annual reports of Apple Inc., a manufacturer of personal computers and related products, and Mattel Inc., a manufacturer of toys, including Barbie®, Hot Wheels®, and Disney Classics: Apple Mattel Cost of merchandise sold $140,089 $2,896 Inventory, end of year 2,349 588 Inventory, beginning of the year 2,111 562 a. Determine the inventory turnover for Apple and Mattel. Round to one decimal place. b. Would you expect Mattel's inventory turnover to be higher or lower than Apple's? Why?
The following data (in millions) were taken from recent annual reports of Apple Inc., a manufacturer of personal computers and related products, and Mattel Inc., a manufacturer of toys, including Barbie®, Hot Wheels®, and Disney Classics: Apple Mattel Cost of merchandise sold $140,089 $2,896 Inventory, end of year 2,349 588 Inventory, beginning of the year 2,111 562 a. Determine the inventory turnover for Apple and Mattel. Round to one decimal place. b. Would you expect Mattel's inventory turnover to be higher or lower than Apple's? Why?
Financial Accounting
14th Edition
ISBN:9781305088436
Author:Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:Carl Warren, Jim Reeve, Jonathan Duchac
Chapter9: Receivables
Section: Chapter Questions
Problem 27E
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Question
![The following data (in millions) were taken from recent annual reports of Apple Inc., a
manufacturer of personal computers and related products, and Mattel Inc., a manufacturer
of toys, including Barbie®, Hot Wheels®, and Disney Classics:
Apple
Mattel
Cost of merchandise sold
$140,089
$2,896
Inventory, end of year
2,349
588
Inventory, beginning of the year
2,111
562
a. Determine the inventory turnover for Apple and Mattel. Round to one decimal place.
b. Would you expect Mattel's inventory turnover to be higher or lower than Apple's? Why?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F63d38f1d-d551-4153-bc2e-e3603469104b%2F2a15225b-57ed-42e9-9dab-b0892d1a395c%2F7hwiyx9.jpeg&w=3840&q=75)
Transcribed Image Text:The following data (in millions) were taken from recent annual reports of Apple Inc., a
manufacturer of personal computers and related products, and Mattel Inc., a manufacturer
of toys, including Barbie®, Hot Wheels®, and Disney Classics:
Apple
Mattel
Cost of merchandise sold
$140,089
$2,896
Inventory, end of year
2,349
588
Inventory, beginning of the year
2,111
562
a. Determine the inventory turnover for Apple and Mattel. Round to one decimal place.
b. Would you expect Mattel's inventory turnover to be higher or lower than Apple's? Why?
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