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PSA5.5 Calculate inventory turnover, days in inventory, and current ratio based on FIFO. LO8 This information is available for the European Division of World Building

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PSA5.5 Calculate inventory turnover, days in inventory, and current ratio based on FIFO. LO8 This information is available for the European Division of World Building Products Ltd for 2018. World Building Products uses the FIFO inventory method in millions) Beginning inventory Ending inventory Current assets Current liabilities Cost of sales Sales 2018 S 31 465.20 31 738.20 15 343.80 24 295.60 06 729.80 65 125.80 Required (a) Calculate inventory turnover, days in inventory, and current ratio for World Building Products for 2018 (b) What do inventory turnover and days in inventory indicate

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