Cruz Company uses LIFO for Inventory costing and reports the following financlal data. It also recomputed inventory and cost of goods

sold using FIFO for comparison purposes.

Compute its current ratio, Inventory turnover, and days' sales in inventory for Year $2$ using

$($a$)$ LIFO numbers and

$($b$)$ FIFO numbers.

$($a$)$ Compute its current ratio, inventory turnover, and days' sales in inventory for Year $2$ using LIFO

numbers.

$($b$)$ Compute its current ratio, inventory turnover, and days' sales in inventory for Year $2$ using FIFO

numbers. The following is information for Palmer Company.

Use the above information to compute Inventory turnover for Year $3$ and Year $2,$ and Its days' sales In Inventory at December $31,$ Year $3$

and Year $2.$ From Year $2$ to Year $3,$ did Palmer Improve its

$($a$)$ Inventory turnover and

$(b)$ days' sales in Inventory?

Use the above information to compute inventory turnover for Year $2,$ and its days' sales in inventory at December $31,$ Year $2.$

Use the above information to compute inventory turnover for Year $3,$ and its days' sales in inventory at December $31,$ Year $3.$ Martinez Company's ending inventory includes the following items.

Compute the lower of cost or market for ending inventory applied separately to each product. On January $1,$ JKR Shop had $$650,000$ of beginning Inventory at cost$.$ In the first quarter of the year, it purchased $$1,790,000$ of

merchandise, returned $$25,100,$ and paid freight charges of $$39,600$ on purchased merchandise, terms FOB shipping point. The

company's gross profit averages $30\%,$ and the store had $$2,200,000$ of net sales $($at retall$)$ in the first quarter of the year.

Use the gross profit method to estimate its cost of inventory at the end of the first quarter.