The following data were extracted from the income statement of Keever Inc.: a. Determine for each year

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The following data were extracted from the income statement of Keever Inc.:

Previous Year Current Year Sales $18,500,000 $20,000,000 860,000 10,800,000 940,000 Beginning inventorles Cost of goods

a. Determine for each year

(1) The inventory turnover and

(2) The number of days€™ sales in inventory. Round to the nearest dollar and one decimal place.
b. What conclusions can be drawn from these data concerning the inventories?

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Corporate Financial Accounting

ISBN: 9781337398169

15th Edition

Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac

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Question Posted: Jul 30, 2018 02:04 PM

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The following data were extracted from the income statement of Keever Inc.: a. Determine for each year

Question:

Previous Year Current Year Sales $18,500,000 $20,000,000 860,000 10,800,000 940,000 Beginning inventorles Cost of goods sold Ending inventories 940,000 9,270,000 1,120,000

Step by Step Answer:

a 1 2 Average daily cost of goods sold 25397 9270000 ...View the full answer

Corporate Financial Accounting

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