Inventory turnover and number of days' sales in inventory Financial statement data for years ending December...

Transcribed Image Text:

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 $3,710,590 $3,853,305 Inventories: Beginning of year 766,500 744,600 End of year 846,800 766,500 Required a. Determine the inventory turnover for 2017 and 20Y6. Round to one decimal place. 2017 20Y6 Inventory turnover b. Determine the number of days' sales in inventory for 2017 and 20Y6. Use 365 days and round to one decimal place. Number of days' sales in inventory 2017 2016 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 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 $3,710,590 $3,853,305 Inventories: Beginning of year 766,500 744,600 End of year 846,800 766,500 Required a. Determine the inventory turnover for 2017 and 20Y6. Round to one decimal place. 2017 20Y6 Inventory turnover b. Determine the number of days' sales in inventory for 2017 and 20Y6. Use 365 days and round to one decimal place. Number of days' sales in inventory 2017 2016 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