Raj Cycles Limited is a leading bespoke cycle retailer and it operates throughout the year. The cost of goods sold last year was £835,000. The firm modifies eight items to customize cycles as per requests made by customers. Table 12.3 shows last year’s average inventory levels for these items, along with their unit values.
a. What is the average aggregate inventory value?
b. The firm is expecting a disruption in its supply due to various reasons. How many weeks can it manage without a supply?
c. What was the inventory turnover last year? What conclusions can you draw from this analysis?

Data from Table 12.3:

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TABLE 12.3 RAJ CYCLES INVENTORY ITEMS Average Inventory Units 200 500 300 100 Category Frame Tire Seats Part Number Diamond Stepthrough Cantilever Cross Clincher Tubular Performance Cushioning 600 800 350 750 Value per Unit £250 £260 £175 £100 £40 £50 £10 £15