PLEASE MAKE SURE TO CHECK ALL THE NUMBERS BEFORE YOU COMPLETE THE PROBLEM.

The following is information for Palmer Co.

	Year 3		Year 2		Year 1
Cost of goods sold	$	643,825	$	426,650	$	391,300
Ending inventory		97,400		87,750		92,500

Use the above information to compute inventory turnover for year 3 and year 2, and its days' sales in inventory at December 31, Year 3 and Year 2.

(a) Use the above information to compute inventory turnover for Year 2, and its days' sales in inventory at December 31, Year 2.
	Numerator	/	Denominator	=	Ratio
Inventory turnover
Days' sales in inventory
(b) Use the above information to compute inventory turnover for Year 3, and its days' sales in inventory at December 31, Year 3.
	Numerator	/	Denominator	=	Ratio
Inventory turnover
Days' sales in inventory