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Inverness Steel Corporation is a producer of flat - rolled carbon, stainless and electrical steels, and tubular products. The company's income statement for the 2
Inverness Steel Corporation is a producer of flatrolled carbon, stainless and electrical steels, and tubular products. The company's income statement for the fiscal year reported the following information $ in millions:
Sales $
Cost of goods sold
The company's balance sheets for and included the following information $ in millions:
Current assets:
Accounts receivable, net $ $
Inventories
The statement of cash flows reported bad debt expense for of $ million. The summary of significant accounting policies included the following notes $ in millions:
Accounts Receivable in part
The allowance for uncollectible accounts was $ and $ at December and respectively. All sales are on credit.
Inventories
The cost of the majority of inventories is measured using the lastin firstout LIFO method. Other inventories are measured principally at average cost and consist mostly of foreign inventories and certain raw materials. If the entire inventory had been valued on an average cost basis, inventory would have been higher by $ and $ at the end of and respectively.
During and liquidation of LIFO layers generated income of $ $ and $ respectively.
Required:
Determine the amount of accounts receivable Inverness wrote off during
Note: Enter your answer in millions.
Calculate the amount of cash collected from customers during
Note: Enter your answer in millions.
Calculate what cost of goods sold would have been for if the company had used average cost to value its entire inventory.
Note: Enter your answer in millions.
Calculate the receivables turnover ratio, the inventory turnover ratio, and the gross profit ratio for
Note: Round "Receivables turnover ratio" and "Inventory turnover ratio" answers to decimal places. Round "Gross profit ratio" answer to nearest percent ie needs to be entered as
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