Question
Inventory Turnover The following data were taken from recent annual reports of Tomato Computer, Inc., a manufacturer of personal computers and related products, and Happy
Inventory Turnover
The following data were taken from recent annual reports of Tomato Computer, Inc., a manufacturer of personal computers and related products, and Happy Times Corporation, a manufacturer and distributor of greeting cards and related products:
| Tomato | Happy Times | |||
|---|---|---|---|---|
| Cost of goods sold | $8,004,450 | $448,500 | ||
| Inventory, end of year | 136,000 | 134,000 | ||
| Inventory, beginning of the year | 83,000 | 165,000 | ||
a. Determine the inventory turnover for Tomato and Happy Times. Round to one decimal place.
| Tomato | |
| Happy Times |
b. Would you expect Happy Times' inventory turnover to be higher or lower than Tomato Computer's?
Higher
Lower
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Clinical Audit In Primary Care Demonstrating Quality And Outcomes
Authors: Ruth Chambers, Gill Wakley
1st Edition
1857757092, 978-1857757095
