Problem 4-15 Inventory Turnover (LO3)

Assume a firms inventory level of $12,500 represents 35 days' sales.

Required:

a. What is the annual cost of goods sold? (Use 365 days in a year. Do not round intermediate calculations. Round your answer to whole number.)

b. What is the inventory turnover ratio? (Round your answer to 2 decimal places.)

Annual cost of goods sold
Inventory turnover ratio		times per year