Use the following information that was obtained from the 2017 and 2016 financial statements of Pacific Company, River Corporation, and Ocean Company to answer the questions that follow.

(In millions) Pacific , River, and Ocean

Accounts receivable December 31, 2017 $ 33,000 $ 22,000 $ 41,500 December 31, 2016 30,000 12,800 42,600 Inventory December 31, 2017 22,600 12,600 54,200 December 31, 2016 23,900 32,800 44,000 Net sales (Credit) 2017 620,000 320,000 510,000 2016 610,000 310,000 760,000 Cost of goods sold 2017 211,000 406,000 311,000 2016 156,000 200,000 310,000 REQUIRED:

Compare the three companies and answer the following:

A) Compute the number of days' sales in inventory for each company for 2017. B) Which company appears to have the best liquidity position based solely on the inventory analysis? Explain. C) What information is provided to users with your calculations in part A?