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Dell Inc. and Hewlett-Packard Company (HP) compete with each other in the personal computer market. Deli's primary strategy is to assemble computers to customer orders,

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Dell Inc. and Hewlett-Packard Company (HP) compete with each other in the personal computer market. Deli's primary strategy is to assemble computers to customer orders, rather than for inventory. Thus, for example, Dell will build and deliver a computer within four days of a customer entering an order on a web page. Hewlett-Packard, on the other hand, builds some computers prior to receiving an order, then sells from this inventory once an order is received. Selected financial information for both companies from a recent year's financial statements follows (in millions): Hewlett-Packard Sales Cost of goods sold Inventory, beginning of period Inventory, end of period Dell Inc. $56,940 44,754 1,382 1,404 Company $120,357 92,385 6,317 7,490 Round your calculations and answers to one decimal a. Determine for both companies (1) the inventory turnover and (2) the number of days' sales in inventory Round your calcuations and answe place. Assume 365 daysa year Dell Hewlett-Packard 1. Inventory turnover 2. Number of days sales in inventory b. Dell has a much higher inventory turnover ratio than does HP. Likewise, significant differences are a result of Dell's make-to-order strategy 1x days days Deil has a much smallernumber of days' sales in inventory Thess

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