Question
Inventory turnover and number of days' sales in inventory Financial statement data for years ending December 31 for Tango Company follow: 2017 20Y6 Cost
Inventory turnover and number of days' sales in inventory Financial statement data for years ending December 31 for Tango Company follow: 2017 20Y6 Cost of goods sold $3,864,000 $4,001,500 Inventories: Beginning of year End of year 770,000 840,000 740,000 770,000 Required a. Determine the inventory turnover for 2017 and 20Y6. Round to one decimal place. Inventory turnover 20Y7 2016 b. Determine the number of days' sales in inventory for 20Y7 and 20Y6. Use 365 days and round to one decimal place. Number of days' sales in inventory 20Y7 20Y6 days days c. Are the changes in inventory turnover and the number of days' sales in inventory from 2016 to 2017 favorable or unfavorable? Unfavorable
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