Early in 2020, Lausanne Clocks switched to a just-in-time inventory system. Its sales, cost of goods sold, and inventory amounts for 2019 and 2020 are shown below.

Determine the inventory turnover and days in inventory for 2019 and 2020. Discuss the changes in the amount of inventory, the inventory turnover and days in inventory, and the amount of sales across the two years.

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2019 2020 Sales CHF3,120,000 CHF3,713,000 1,425,000 Cost of goods sold Beginning inventory Ending inventory 1,200,000 180,000 220,000 100,000 220,000