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Dogs-R-Us and K-9 Inc. are two retail stores that cater to the needs of dog owners in the greater Charleston area. There is healthy competition

Dogs-R-Us and K-9 Inc. are two retail stores that cater to the needs of dog owners in the greater Charleston area. There is healthy competition between these two establishments. Both operate 52 weeks a year and both sell approximately the same type and dollar value of items. Table 1 provides the cost of goods sold, the average inventory level, and unit value of each item sold in the two stores.



Dogs-R-Us


K-9 Inc.


Cost of Goods Sold

$590,000.00


$680,000.00


Category

Average Inventory in Units

Value per Unit

Average Inventory in Units

Value per Unit

Dog Beds

210

$55.00

150

$55.00

Dog Bones & Treats

1,100

$2.50

260

$2.50

Pet Feeders

60

$12.00

25

$12.50

Flea & Tick

360

$7.50

70

$7.20

Dog Kennels

10

$65.00

2

$60.00

Dog Pens

10

$220.00

3

$220.00

Patio Pet Doors

7

$125.00

4

$120.00

Dog Ramps

3

$150.00

3

$155.00

Pet Strollers

7

$42.50

3

$42.50

Pet Supplements

1,350

$4.70

160

$4.50

Dog Toys

240

$2.20

90

$2.30

a. Compare the two retail stores in terms of average aggregate inventory value.

The average aggregate inventory value for Dogs-R-Us is $_____

The average aggregate inventory value for K-9 Inc is $_____

b. Compare the two retail stores in terms of weeks of supply.

c. Compare the two retail stores in terms of inventory turnover.

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