W & B Corp. has current liabilities of $387,000, a quick ratio of .85, inventory turnover of
Question:
W & B Corp. has current liabilities of $387,000, a quick ratio of .85, inventory turnover of 8.4, and a current ratio of 1.35. What is the cost of goods sold for the company?
Step by Step Answer:
Input area Current liabilities 3870...View the full answer
Fundamentals of Corporate Finance
ISBN: 978-0077861704
11th edition
Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan
Related Video
Inventory turnover is a key metric that helps businesses evaluate the efficiency of their operations. A high turnover ratio is generally considered positive, indicating that the company is effectively selling its inventory and making efficient use of its resources. On the other hand, a low turnover ratio may indicate issues such as overstocking or slow sales and may require further examination to identify and address the underlying causes. Businesses use this ratio to make decisions about inventory levels, production schedules, and pricing strategies. It also helps businesses to identify areas where they may need to make improvements, such as reducing lead times for production or optimizing sales and marketing efforts. Additionally, inventory turnover is used by investors and analysts as a key performance indicator to evaluate the financial health and growth potential of a company.
Students also viewed these Corporate Finance questions
-
Cost of Goods Sold Holliman Corp. has current liabilities of $410,000, a quick ratio of 1.8, inventory turnover of 4.2, and a current ratio of 3.3. What is the cost of goods sold for the company?
-
Saunders Corp. has current liabilities of $435,000, a quick ratio of .95, inventory turnover of 6.2, and a current ratio of 1.6. What is the cost of goods sold for the company?
-
Brendas Bar and Grill has current liabilities of $15 million. Cash makes up 10 percent of the current assets and accounts receivable makes up another 40 percent of current assets. Brendas current...
-
Monterey Co. makes and sells a single product. The current selling price is $15 per unit. Variable expenses are $9 per unit, and fixed expenses total $27,000 per month. Required: (Unless otherwise...
-
Sheryl Crow Equipment Company sold 500 Rollomatics during 2008 at $6,000 each. During 2008, Crow spent $20,000 servicing the 2-year warranties that accompany the Rollomatic. All applicable...
-
Why are bank accounting practices under attack right now? In what ways could financial institutions improve their accounting methods?
-
In 2016, a father of two minor children in Cuyahoga county, Ohio, filed a claim to determine custody of the children. At the pretrial, the father informed the magistrate he wanted to be named a legal...
-
The following facts relate to Duncan Corporation. 1. Deferred tax liability, January 1, 2008, $60,000. 2. Deferred tax asset, January 1, 2008, $20,000. 3. Taxable income for 2008, $105,000. 4....
-
CanMS-EXCEL connect to an ORACLE database using JDBC? I've spent an hour finding the answer to the question and I'm still not sure. Could you explain in detail?
-
Shingle Enterprises is considering manufacturing a new product. It projects the cost of direct materials and rent for a range of output as shown below. Instructions (a) Diagram the behavior of each...
-
Ugh Inc.'s net income for the most recent year was $17,382. The tax rate was 34 percent. The firm paid $3,953 in total interest expense and deducted $4,283 in depreciation expense. What was the cash...
-
Prince Albert Canning PLC had a net loss of 27,835 on sales of 204,350. What was the company's profit margin? Does the fact that these figures are quoted in a foreign currency make any difference?...
-
The Kentucky Derby is held at the Churchill Downs track in Louisville, Kentucky. The track is one and one-quarter miles in length. One of the most famous horses to win this event was Secretariat. In...
-
How much do male cougars weigh? A simple random sample of cougar weights in pounds are given below. Assume that the population of all adult male cougar weights are approximately normal. Sample Data...
-
The table shows the market demand and competitive fringe supply for a market with a dominant firm. Complete the residual demand column of the table. Competitive fringe supply Price (dollars Residual...
-
1 k(k+1) Calculate the summation for a few values of k until you see pattern that will give you closed form. 1. For the summation: =1 a) b) c) Conjecture a closed form of the summation. Use the...
-
an action plan taking into account cultural, economic, ethical, etc criteria and a proposal for implementation over time is described in the case of Tremblay.
-
The legislature of the country in the animation above is increased to 30 seats. The standard divisor does not result in the correct number of seats, so the divisor 36,000 is tried, with standard...
-
Describe why some outliers distort the regression line and others do not.
-
Provide examples of a situations in which environmental disruptions affected consumer attitudes and buying behaviors.
-
Yield to Maturity treasury bid and ask quotes are sometimes given in terms of yields, so there would be a bid yield and an ask yield. Which do you think would be larger? Explain.
-
Yield to Maturity treasury bid and ask quotes are sometimes given in terms of yields, so there would be a bid yield and an ask yield. Which do you think would be larger? Explain.
-
Real and Nominal Returns Are there any circumstances under which an investor might be more concerned about the nominal return on an investment than the real return?
-
1. Create and Adjusted Trial balance with the above information 2. prepare closing entries Bal. Bal. Cash 19,860 Accounts Receivable 16,600 Allow. for Doubtful Accts. Bal. Bal. Bal. Land 393,400...
-
p r e p a r e a 6 0 0 w o r d s presentation regarding data security to your colleagues. The presentation should be accompanied by speaker notes. Examples, citations and references Analyse the...
-
What is program evaluation? What is the importance of data in program evaluation?
Study smarter with the SolutionInn App