Harman International Industries is a world-leading producer of loudspeakers and other electronics products, which are sold under
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1. Determine the inventory turnover ratio and average days to sell inventory for 2013 and 2012. Round to one decimal place.
2. Comment on any changes in these measures and compare the effectiveness of inventory man-agers at Harman to inventory managers at Panasonic Corporation, where inventory turns over 6.7 times per year (54 days to sell). Both companies use the same inventory costing method (FIFO).
Inventory Turnover RatioThe inventory turnover ratio is a ratio of cost of goods sold to its average inventory. It is measured in times with respect to the cost of goods sold in a year normally. Inventory Turnover Ratio FormulaWhere,... Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...
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Related Book For
Fundamentals of Financial Accounting
ISBN: 978-0078025914
5th edition
Authors: Fred Phillips, Robert Libby, Patricia Libby
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