Inventory Turnover and days' sales in inventory Kracker Corp., Foodstuff, Inc., and Winston Stores,...
70.2K
Verified Solution
Question
Accounting
Inventory Turnover and days' sales in inventory Kracker Corp., Foodstuff, Inc., and Winston Stores, Inc. are three grocery chains in the United States. Inventory management is an important aspect of the grocery retail business. Recent balance sheets for these three companies indicated the following merchandise inventory in millions information: tabletableKrackerCorptableFoodstuffInctableWinstonStoresCost of merchandise sold,$$$ Inventory beginning of year $ $ $ A & b Determine the inventory turnover and the number of days sales in inventory use days and round to the nearest day for the three companies. Round all interim calculations to one decimal place. For days' sales in inventory, round final answers to the nearest day, and for inventory turnover, round to one decimal place. C The inventory turnover ratios and days sales in inventory are similar or different for kracker and foodstuff. Winston stores has a higher or lower inventory turnover and a higher or lower days sales in inventory than kracker and foodstuff. These results suggest that kracker and food stuff are less or more efficient than winston stores in managing inventory. D If kracker had winston stores days sales in inventory, how much additional cash flow would have been generated from the smaller inventory relative to its actual average inventory position? Rount interim calculations to one decimal place and your final answer to the nearest million.
Inventory Turnover and days' sales in inventory
Kracker Corp., Foodstuff, Inc., and Winston Stores, Inc. are three grocery chains in the United States. Inventory management is an important aspect of the grocery retail business. Recent balance sheets for these three companies indicated the following merchandise inventory in millions information:
tabletableKrackerCorptableFoodstuffInctableWinstonStoresCost of merchandise sold,$$$
Inventory beginning of year $ $ $
A & b Determine the inventory turnover and the number of days sales in inventory use days and round to the nearest day for the three companies. Round all interim calculations to one decimal place. For days' sales in inventory, round final answers to the nearest day, and for inventory turnover, round to one decimal place.
C The inventory turnover ratios and days sales in inventory are similar or different for kracker and foodstuff. Winston stores has a higher or lower inventory turnover and a higher or lower days sales in inventory than kracker and foodstuff. These results suggest that kracker and food stuff are less or more efficient than winston stores in managing inventory.
D If kracker had winston stores days sales in inventory, how much additional cash flow would have been generated from the smaller inventory relative to its actual average inventory position? Rount interim calculations to one decimal place and your final answer to the nearest million.
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.