[The following information applies to the questions displayed below.]

Lewis Incorporated and Clark Enterprises report the following amounts for the year.

Required:

1. Calculate cost of goods sold for each company.

2. Calculate the inventory turnover ratio for each company.

3. Calculate the average days in inventory for each company. (Round your intermediate calculations to 1 decimal place.)

4. Which company appears to be managing its inventory more efficiently?

	Lewis Incorporated
	Clark Enterprises

Lewis 23,000 20,000 Clark $29,000 $55,000 Inventory (beginning) Inventory (ending) Purchases Purchase returns 65,000 177,000 65,000 339,000