New Hope reported the following income statement for the year ended December 31, 2016:

Requirements
1. Compute New Hope’s inventory turnover rate for the year. (Round to two decimal places.)
2. Compute New Hope’s days’ sales in inventory for the year. (Round to two decimalplaces.)

Transcribed Image Text:

NEW HOPE Income Statement Year Ended December 31, 2016 Sales Revenue 144,000 Cost of Goods Sold Beginning Merchandise Inventory Net Cost of Purchases Cost of Goods Available for Sale Less: Ending Merchandise Inventory Cost of Goods Sold 10,080 63,840 73.920 14,880 Gross Proft Operating xpenses Net Income 59,040 84,960 55,224 29,736