The following information is available for the Starr Corporation:
$$\begin{array} {| l | l |}
\hline \text { Sales } & \$ 750,000 \
\hline \text { Cost af goods sold } & 450,000 \
\hline \text { Gross profit } & 300,000 \
\hline \text { Operating income } & 85,000 \
\hline \text { Net income } & 42,000 \
\hline \text { Inventory, beginning-year } & 71,200 \
\hline \text { Inventory, end-of-year } & 48,800
\end{array}$$ Calculate the company's inventory turnover and its days' sales in inventory.

Question

The following information is available for the Starr Corporation:
 $$\begin{array} {| l | l |} 
\hline \text { Sales } & \$ 750,000 \ 
\hline \text { Cost af goods sold } & 450,000 \
\hline \text { Gross profit } & 300,000 \
\hline \text { Operating income } & 85,000 \
\hline \text { Net income } & 42,000 \
\hline \text { Inventory, beginning-year } & 71,200 \
\hline \text { Inventory, end-of-year } & 48,800
\end{array}$$ Calculate the company's inventory turnover and its days' sales in inventory.

Quizplus · Accepted Answer

The Answer of The following information is available for the Starr Corporation:
 $$\begin{array} {| l | l |} 
\hline \text { Sales } & \$ 750,000 \ 
\hline \text { Cost af goods sold } & 450,000 \
\hline \text { Gross profit } & 300,000 \
\hline \text { Operating income } & 85,000 \
\hline \text { Net income } & 42,000 \
\hline \text { Inventory, beginning-year } & 71,200 \
\hline \text { Inventory, end-of-year } & 48,800
\end{array}$$ Calculate the company's inventory turnover and its days' sales in inventory.

The Following Information Is Available for the Starr Corporation Calculate the Company's Inventory Turnover and Its Days' Sales in {|