If this can be done by excel and by hand, that\'d be amazing A retailer has annu
ID: 333672 • Letter: I
Question
If this can be done by excel and by hand, that'd be amazing
A retailer has annual sales of $525000 and an average finished-goods inventory of $10000. (Round your answer to 1 decimal place.) If the retailer sells each unit for an average of $23 and purchases the units for $13, what is its annual inventory turnover? PA 10-17 A retailer has annual sales of... A retailer has annual sales of $525000 and an average finished-goods inventory of $10000. (Round your answer to 1 decimal place.) If the retailer sells each unit for an average of $23 and purchases the turns units for $13, what is its annual inventory turnover?Explanation / Answer
Inventory turnover is a ratio showing how many times a company's inventory is sold and replaced over a period of time. The days in the period can then be divided by the inventory turnover formula to calculate the days it takes to sell the inventory on hand. It is calculated as sales divided by average inventory.
Therefore , Inventory turnover ratio = Annual sales / Finished goods inventory = 525000/10000 = 52.50
ANNUAL INVENTORY TURN = 52.50
ANNUAL INVENTORY TURN = 52.50