Refer to problem 5: Hick’s company’s inventory valuation was inaccurate. If the company’s correct beginning inventory balance is $2,925,000 and its ending inventory was $4,110,000 (again in U.S. dollars), what is the revised inventory turnover ratio? What is the company’s days of inventory in stock?

Data from problem 5

Suppose you were a consultant working for the Wegmans (Wegmans Food Markets, Inc., Rochester, NY) grocery store organization and you were asked to advise the company on steps it could take to make its inventory management practices more sustainable. What steps or actions might you advise Wegmans to consider taking? (Look up Wegmans on the Internet to get a better sense of the company’s operations.)