Question
The Kroger company reported the following data in its annual report (in millions). Compute Kroger's inventory turnovers for fiscal years ending January 28, 2017, and
The Kroger company reported the following data in its annual report (in millions).
Compute Kroger's inventory turnovers for fiscal years ending January 28, 2017, and January 30, 2016 using:
Cost of sales and LIFO inventory.
Cost of sales and FIFO inventory.
Some firms calculate inventory turnover using sales rather than cost of goods sold in the numerator. Calculate Krogers fiscal years ending January 28, 2017, and January 30, 2016, turnover, using:
Sales and LIFO inventory.
Sales and FIFO inventory.
State which method you would choose to evaluate Kroger's performance. Justify your choice.
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