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Sparky's sells auto parts. Provided below is selected financial information from the company's annual report: Sparky's forecasts that sales will grow by 25% in Year
Sparky's sells auto parts. Provided below is selected financial information from the company's annual report: Sparky's forecasts that sales will grow by 25% in Year 3 and that its cost of goods sold to sales ratio will be the same in Year 3 as it was in Year 2. If these assumptions prove correct and Sparky's inventory turnover ratio for Year 3 is 6.5 what will be the level of inventory at the end of Year 3 ? a. $24,117 b. $25,035 c. $20,017 d. $14,000
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