The following data (in millions) were taken from recent annual reports of Tomato Computer, Inc., a manufacturer of personal computers and related products, and Happy Times Corporation, a manufacturer and distributor of greeting cards and related products: Tomato Happy Times Cost of merchandise sold $5,424,900 $2,520,500 Inventory, end of year 105,000 159,000 Inventory, beginning of the year 64,000 196,000 a. Determine the inventory turnover for Tomato and Happy Times. Round to one decimal place. Tomato Happy Times b. Would you expect Happy Times inventory turnover to be higher or lower than Tomato's? Lower
The following data (in millions) were taken from recent annual reports of Tomato Computer, Inc., a manufacturer of personal computers and related products, and Happy Times Corporation, a manufacturer and distributor of greeting cards and related products: Tomato Happy Times Cost of merchandise sold $5,424,900 $2,520,500 Inventory, end of year 105,000 159,000 Inventory, beginning of the year 64,000 196,000 a. Determine the inventory turnover for Tomato and Happy Times. Round to one decimal place. Tomato Happy Times b. Would you expect Happy Times inventory turnover to be higher or lower than Tomato's? Lower
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![Inventory Turnover
The following data (in millions) were taken from recent annual reports of Tomato Computer, Inc., a manufacturer of personal computers and related products, and Happy Times Corporation, a manufacturer and
distributor of greeting cards and related products:
Tomato
Happy Times
Cost of merchandise sold
$5,424,900
$2,520,500
Inventory, end of year
105,000
159,000
Inventory, beginning of the year
64,000
196,000
a. Determine the inventory turnover for Tomato and Happy Times. Round to one decimal place.
Tomato
Happy Times
b. Would you expect Happy Times inventory turnover to be higher or lower than Tomato's?
Lower](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F9c89cc18-04af-4526-9496-6a509716cba2%2F4eb45f79-9ce9-4c5a-b9c3-ba6a006a77bf%2Fnown66_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Inventory Turnover
The following data (in millions) were taken from recent annual reports of Tomato Computer, Inc., a manufacturer of personal computers and related products, and Happy Times Corporation, a manufacturer and
distributor of greeting cards and related products:
Tomato
Happy Times
Cost of merchandise sold
$5,424,900
$2,520,500
Inventory, end of year
105,000
159,000
Inventory, beginning of the year
64,000
196,000
a. Determine the inventory turnover for Tomato and Happy Times. Round to one decimal place.
Tomato
Happy Times
b. Would you expect Happy Times inventory turnover to be higher or lower than Tomato's?
Lower
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