Use the following information relating to Clover Company to calculate (a) the inventory turnover ratio, (b) gross margin, and (c) the number of days’ sales in inventory ratio, for years 2022 and 2023. Assume a year has 365 days. Do not round intermediate calculations and round your final answers to 3 decimal places. Sales Cost of Goods Sold Average Inventory Year 2021 $250,000 $187,500 $26,000 Year 2022 295,000 221,250 30,000 Year 2023 323,000 252,250 35,000 Inventory Turnover Gross Margin Days' Sales in Inventory Year 2022 fill in the blank 1 $fill in the blank 2 fill in the blank 3 Year 2023 fill in the blank 4 $fill in the blank 5 fill in the blank 6
Use the following information relating to Clover Company to calculate (a) the inventory turnover ratio, (b) gross margin, and (c) the number of days’ sales in inventory ratio, for years 2022 and 2023. Assume a year has 365 days. Do not round intermediate calculations and round your final answers to 3 decimal places. Sales Cost of Goods Sold Average Inventory Year 2021 $250,000 $187,500 $26,000 Year 2022 295,000 221,250 30,000 Year 2023 323,000 252,250 35,000 Inventory Turnover Gross Margin Days' Sales in Inventory Year 2022 fill in the blank 1 $fill in the blank 2 fill in the blank 3 Year 2023 fill in the blank 4 $fill in the blank 5 fill in the blank 6
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Use the following information relating to Clover Company to calculate (a) the inventory turnover ratio, (b) gross margin, and (c) the number of days’ sales in inventory ratio, for years 2022 and 2023. Assume a year has 365 days. Do not round intermediate calculations and round your final answers to 3 decimal places.
Sales |
Cost of Goods Sold |
Average Inventory |
|
| Year 2021 | $250,000 | $187,500 | $26,000 |
| Year 2022 | 295,000 | 221,250 | 30,000 |
| Year 2023 | 323,000 | 252,250 | 35,000 |
| Inventory Turnover |
Gross Margin |
Days' Sales in Inventory |
|
| Year 2022 | fill in the blank 1 | $fill in the blank 2 | fill in the blank 3 |
| Year 2023 | fill in the blank 4 | $fill in the blank 5 | fill in the blank 6 |
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