Use the following information for Ryder Co. to compute inventory turnover for 2011 and 2010, and its
Question:
Use the following information for Ryder Co. to compute inventory turnover for 2011 and 2010, and its days’ sales in inventory at December 31, 2011 and 2010. (Round answers to one decimal.) Comment on Ryder’s efficiency in using its assets to increase sales from 2010 to2011.
2011 2010 Cost of goods sold.$643,825 $426,650 $391,300 96.400 86,750 9500
Step by Step Answer:
Analysis comment It appears that during a period of ...View the full answer
Fundamental Accounting Principles
ISBN: 978-0078110870
20th Edition
Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta
Related Video
Inventory turnover is a key metric that helps businesses evaluate the efficiency of their operations. A high turnover ratio is generally considered positive, indicating that the company is effectively selling its inventory and making efficient use of its resources. On the other hand, a low turnover ratio may indicate issues such as overstocking or slow sales and may require further examination to identify and address the underlying causes. Businesses use this ratio to make decisions about inventory levels, production schedules, and pricing strategies. It also helps businesses to identify areas where they may need to make improvements, such as reducing lead times for production or optimizing sales and marketing efforts. Additionally, inventory turnover is used by investors and analysts as a key performance indicator to evaluate the financial health and growth potential of a company.
Students also viewed these Managerial Accounting questions
-
Use the following information for Palmer Co. to compute inventory turnover for 2011 and 2010, and its days' sales in inventory at December 31, 2011 and 2010. (Round answers to one decimal.) Comment...
-
Use the following information for Owens Corporation to determine (1) The 2008 and 2009 common-size percents for cost of goods sold using net sales as the base and (2) The 2008 and 2009 trend percents...
-
Use the following information for The Windshield Pro, a retail merchandiser of auto windshields, to compute the cost of goods sold: Web Site Maintenance.......$ 7,000 Delivery Expense......... 800...
-
What is the timestep value ? And how do I go about altering from downstream to upstream? The following code solves the advection equation 1 2 3 4 5 6 7 8 9- 10 - 11 12 - 13 - 14 - 15 - 16 - 17 18 19...
-
To what pressure does one fill a 0.15-m3 vessel at 25(C in order to store 40 kg of ethylene in it?
-
What are some factors that can cause complications in the post-audit? AppendixLO1
-
Ted is traveling on his railroad car (length 25 m as measured by Ted) at a speed of 0.95c. Alice arranges for two small explosions to occur on the ground next to the ends of the railroad car (Fig....
-
Bank Management Printers Inc. produces luxury chequebooks with three cheques and stubs per page. Each chequebook is designed for an individual customer and is ordered through the customers bank. The...
-
Please use and cite an internet source other than the pedia's If you were a CFO considering implementation of a dividend payout policy, which factors would influence your implementation plan?
-
Complete the following feedback form on the outdoor treasure hunting experience to provide teachers with insight into how the experience went from an observer's perspective. ? Case Study 2b - Finding...
-
Chess Company uses LIFO for inventory costing and reports the following financial data. It also recomputed inventory and cost of goods sold using FIFO for comparison purposes. 1. Compute its current...
-
Refer to Exercise 6-3 and assume the periodic inventory system is used. Determine the costs assigned to ending inventory and to cost of goods sold using (a) Specific identification, (b) Weighted...
-
In what year was Plankalkl designed? In what year was that design published?
-
2. Question 2 When preparing a financial spread analysis, what should be done when the financial statement captions don't align with those provided in the spread template? 1 point Conform the...
-
Your company just secured an $6 million contract with a major public-sector client that is expected to generate thousands of jobs over the next 10 years. Describe the scenario as a blog.
-
Dr. John Gottman's research has been able to accurately predict divorce more than 90% of the time.By carefully studying how couples interact with each other, he identified what are known as "The Four...
-
Adult Sleep Times (hours) of sleep for randomly selected adult subjects included in the National Health and Nutrition Examination Study are listed below. Here are the statistics for this sample: n =...
-
For high-energy electron diffraction in a TEM, another estimate of the precision of diffraction angles can be provided by the uncertainty principle: px We do not know the specific plane that scatters...
-
Your salary income in 2011 is $110,000. Assume for simplicity that you have no deductions and that you only have basic personal tax credits. Assume also that you have a dividend income of $5,000....
-
Use nodal analysis to determine voltages v1, v2, and v3 in the circuit Fig. 3.76. Figure 3.76 4 S 3i, 2 A 4A
-
Which statements about the following line of code are correct? (Choose three.) throw new IllegalArgumentException (); A. The method where this is called must declare a compatible exception. B. The...
-
Ricardo Construction began operations on December 1. In setting up its accounting procedures, the company decided to debit expense accounts when it prepays its expenses and to credit revenue accounts...
-
Costanza Company experienced the following events and transactions during July. July 1 Received $3,000 cash in advance of performing work for Vivian Solana. 6 Received $7,500 cash in advance of...
-
Tremor Co. had the following transactions in the last two months of its fiscal year ended May 31. Apr. 1 Paid $2,450 cash to an accounting firm for future consulting services. 1 Paid $3,600 cash for...
-
Choose two stocks from the same industry to minimize the influence of other confounding factors. You choose the industry that you are relatively more familiar with, and then estimate the implied...
-
why should Undertake research to review reasons for previous profit or loss?
-
A pension fund's liabilities has a PV01 of $200 million. The plan has $100 billion of assets with a weighted average modified duration of 8. The highest duration bond that the plan can invest in has...
Study smarter with the SolutionInn App