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Cruz Company uses LIFO Tor Inventory costing and reports the following tinancial data. It also recomputed Inventory and cost of goods sold using FIFO for
Cruz Company uses LIFO Tor Inventory costing and reports the following tinancial data. It also recomputed Inventory and cost of goods sold using FIFO for comparison purposes. LIFO inventory LIFO cost of goods sold FIFO inventory FIFO cost of goods sold Current assets (using LIFO) Current assets (using FIFO) Current liabilities Year 2 $ 170 750 240 705 230 300 180 Year 1 $ 120 690 145 690 200 225 160 1. Compute its current ratio, inventory turnover, and days' sales in inventory for Year 2 using (a) LIFO numbers and (b) FIFO numbers. es (a) Compute its current ratio, inventory turnover, and days' sales in inventory for Year 2 using LIFO numbers. Numerator 1 Denominator Ratio Current ratio Inventory turnover Days' sales in inventory (b) Compute its current ratio, inventory turnover, and days' sales in inventory for Year 2 using FIFO numbers. Numerator 1 Denominator Ratio Current ratio Inventory turnover Days' sales in inventory Prev 1 of 1 Next
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