MindTap - Cengage Learning Online teaching and learning resource from Cengage eBook Show Me How Kracker Corp., Foodstuff, Inc., and Winston Stores, Inc. are three grocery chains in the United States. Inventory management is an important aspect of the grocery retail business. Recent balance sheets for these three companies indicated the following merchandise inventory (in millions) information: Kracker Foodstuff Winston Corp. Inc. Stores Cost of merchandise sold $32,850.0 $33,215.0 $35,405.0 Inventory, beginning of year 1,908.9 2,042.0 1,498.7 Inventory, end of year 1,871.1 1,962.0 1,411.3 a. & b. Determine the inventory turnover and the number of days' sales in inventory (use 365 days and round to the nearest day) for the three companies. Round all Interim calculations to one decimal place. For days' sales in Inventory, round final answers to the nearest day, and for Inventory turnover, round to one decimal place. Company names Inventory Turnover Days' Sales in Inventory 19 Kracker 25,5 X days Foodstuff 17 X 21.5 X days Winston Stores 24 X 15.2 x days e. The inventory turnover ratios and days' sales in inventory are similar for Kracker and Foodstuff, Winston Stores has a higher inventory turnover and a lower days' sales in Inventory than Kracker and Foodstuff. These results suggest that Kracker and Foodstuff are less efficient than Winston Stores in managing inventory. d. If Kracker had Winston Stores' days' sales in Inventory, how much additional cash flow would have been generated from the smaller inventory relative to its actual average inventory position? Round interim calculations to one decimal place and your final answer to the nearest million 45,360 X million Feedback Check My Work a. 1. Determine the average daily cost of the merchandise sold by dividing the cost of goods sold by 365 Check My Work