Seacrest Corporation sells sailboats and has an inventory turnover ratio of 2.45 times per year based on its most recent audited annual financial statements. Assume a 365 day year. During the year Seacrest had $244500 in cost of goods sold. Seacrest applies a 20% mark up and is enough to pay its annual operating expenses of $50,000.

Required 1: How much is the Average Inventory for the year? $

Required 2: On average how many days does it take Seacrest to completely sell its inventory of boats? Determine the average days of outstanding inventory.

Required 3: Seacrest's Gross profit percentage is (report it as multiplied by 100 to represent it as a percentage):

Required 4: If total average assets are $200,000, What is the Return on Assets? (report it as multiplied by 100 to represent it as a percentage):

Required 5: Seacrest's Return on Sales is (report it as multiplied by 100 to represent it as a percentage):

Answer rating: 100% (QA)

Lets break down each requirement step by step 1 Average Inventory for the year We can use the inventory turnover ratio to find the average inventory I... View the full answer