Holliman Corp. has current liabilities of $365,000, a quick ratio of .85, inventory turnover of 5.8, and
Question:
Holliman Corp. has current liabilities of $365,000, a quick ratio of .85, inventory turnover of 5.8, and a current ratio of 1.4. What is the cost of goods sold for the company?
Step by Step Answer:
Given data Current liabilities 36...View the full answer
Fundamentals of corporate finance
ISBN: 978-0073382395
9th 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?
-
Lambda Corporation has current liabilities of $450,000, a quick ratio of 1.8, inventory turnover of 5.0, and a current ratio of 3.5. What is the cost of goods sold for Lambda Corporation?
-
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?
-
Analyze the case study, "Frank Smith Plumbing." Analyze the "Frank Smith Plumbing's Financial Statement" spreadsheet. Compare the cost of the truck to the cash flow records Compile your calculations...
-
Kimbell Manufacturing began operations five years ago. On August 13, 2008, a fire broke out in the warehouse destroying all inventory and many accounting records relating to the inventory. The...
-
The allene molecule has the following Lewis structure: Must all four hydrogen atoms lie in the same plane? If not, what is the spatial relationship among them? Why? C=C=C
-
Which types of economic damages are related to digital crimes?
-
ABC, process costing Parker Company produces mathematical and financial calculators and operas at capacity. Data related to the two products are presented here. Total manufacturing overhead costs...
-
The GRE (Graduate Record Exam) scores for both verbal and quantitative reasoning are approximately normally distributed and scaled to have mean 150 with standard deviation of 8.75. 1) Below what...
-
What is the difference between a favoritism bias and a hindsight bias?
-
Sherwood Inc.'s net income for the most recent year was $13,168. The tax rate was 34 percent. The firm paid $3,605 in total interest expense and deducted $2,382 in depreciation expense. What was the...
-
Prince Albert Canning PLC had a net loss of 13,482 on sales of 138,793 (both in thousands of pounds). What was the company's profit margin? Does the fact that these figures are quoted in a foreign...
-
Would you ever define a function with a vector-by-value parameter?
-
Each year, lists of the fastest-growing and fastest-dying industries in the United States are published by various sources. Do some research to find three industries from each of these two lists for...
-
In 2017, the CEO of Google, Sundar Pichai, earned $1,333,557 in total compensation (salary, bonuses, and other compensation) and Cristian Samper, the president and CEO of the non-profit Wildlife...
-
According to the Bureau of Labor Statistics, the average weekly earnings of production and nonsupervisory employees in education and health services was $760 in May 2018, up from $607 in May 2008....
-
Internet access varies from country to country, suggest reasons why.
-
Assume that you are living in a house with two other people and that the house has a big lawn that must be mowed. One of your roommates, who dislikes working outdoors, suggests hiring a neighbors...
-
Baker Plumbing Fixtures is developing a preplumbed acrylic shower unit. The team developing the product includes representatives from marketing, engineering, and cost accounting. To date, the team...
-
Repeat Exercise 16.6 using the t-test of the coefficient of correlation. Is this result identical to the one you produced in Exercise 16.6?
-
Crossover Bonds Looking back at the crossover bonds we discussed in the chapter, why do you think split ratings such as these occur?
-
Crossover Bonds Looking back at the crossover bonds we discussed in the chapter, why do you think split ratings such as these occur?
-
Municipal Bonds why is it that municipal bonds are not taxed at the federal level, but are taxable across state lines? Why are U.S. Treasury bonds not taxable at the state level? (You may need to...
-
"Beginning Transactions" on the first Excel worksheet will provide the Balance Sheet for 2019 and the Transactions for January 2020. On the second Excel worksheet, "Journal Entries" , you should...
-
Discuss feminist ideology a) What is feminism as an ideology? How do feminists explain and understand the root cause of gender inequality and what do they propose to do? Include a discussion of...
-
You invest $ 1 , 1 0 0 at a 1 2 % annual interest rate, stated as an APR. Interest is compounded monthly. How much will you have in 1 . 5 years? In 2 years? ( Do not round intermediate calculations....
Study smarter with the SolutionInn App