Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Ohio valley homecare suppliers, incorporated (ovhs) had $19 million in sales in 2015. its cost of goods sold was $7.6 million, and its average inventory

Ohio valley homecare suppliers, incorporated (ovhs) had $19 million in sales in 2015. its cost of goods sold was $7.6 million, and its average inventory balance was $1.6 million. Please pay attention to the rounding requirements.

image text in transcribed

Ohio Valley Homecare Suppliers, Incorporated (OVHS) had $19 million in sales in 2015. Its cost of goods sold was $7.6 million, and its average inventory balance was $1.6 million. a. Calculate the number of inventory days outstanding for OVHS. b. The average number of inventory days in the industry is 73 days. By how much would OVHS reduce its investment in inventory if it could improve its inventory days to meet the industry average? a. Calculate the number of inventory days outstanding for OVHS. The number of inventory days is days. (Round to the nearest integer.) b. The average number of inventory days in the industry is 73 days. By how much would OVHS reduce its investment in inventory if it could improve its inventory days to meet the industry average? OVHS would reduce its inventory by $. (Round to the nearest dollar.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Concepts And Practice Of Mathematical Finance

Authors: Mark S. Joshi

1st Edition

0521823552, 9780521823555

More Books

Students also viewed these Finance questions

Question

Date the application was sent

Answered: 1 week ago

Question

How do the two components of this theory work together?

Answered: 1 week ago