The following data were taken from the annual report of Quinton Inc. Cost of goods sold ...........

Question:

The following data were taken from the annual report of Quinton Inc.
Cost of goods sold ........... $212,000
Inventory at end of year ........ 25,000
Inventory at start of year ........ 75,000
a. Determine the inventory turnover for Quinton Inc.
b. Quinton’s competitor, Ng Inc., has a turnover of 3. Which company is more efficient?