Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Cruz Company uses LIFO for inventory costing and reports the following financial data. It also recomputed inventory and cost of goods sold using FIFO for

image text in transcribed
Cruz Company uses LIFO for inventory costing and reports the following financial data. It also recomputed inventory and cost of goods sold using FIFO for comparison purposes. Year 2 Year 1 LIFO inventory $190 LIFO cost of goods sold 770 710 FIFO inventory 260 165 FIFO cost of goods sold 725 Current assets using LIFO) 250 220 Current assets (using FIFO) 320 245 Current Liabilities 150 $140 170 number 1. Compute its current ratio, inventory turnover, and days sales in inventory for year 2 using ( LIFO numbers and (FIFO numbers, 1 Computate current ratio, inventory turneve, and daye alista inventory for your uning LIFO Numerter Denominator Ratio $ Inventory umover 47 times Daye sales in inventory Current ratio 250.00 770.00 15 to 1 1700 165.0 Inces $ 5 25.7 days Comutats current rutierventory turnover and days in Inventory for yearning Pro number Numerator 1. Oonanilnator Ratio Current ratio $ 320,0 1700 1911 Inventory tumover 7250 0 Day' sales in Inventory 1300 20 460 days

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Psychology Of People In Organisations

Authors: Angela Mansi, Melanie Ashleigh

1st Edition

0273755765, 9780273755760

More Books

Students also viewed these Accounting questions

Question

=+7. What is the big message you want them to know? (THINK SLOGAN.)

Answered: 1 week ago