Calm Day reported the following income statement for the year ended December 31, 2025:

Requirements
1. Compute Calm Day’s inventory turnover rate for the year.
2. Compute Calm Day’s days’ sales in inventory for the year.

Transcribed Image Text:

CALM DAY Income Statement Year Ended December 31, 2025 Net Sales Revenue Cost of Goods Sold: Beginning Merchandise Inventory Plus: Net Cost of Inventory Purchased of Goods Available for Sale Cost Less: Ending Merchandise Inventory Cost of Goods Sold Gross Profit Operating Expenses Net Income $ 9,000 62,000 71,000 12,200 $ 128,000 58,800 69,200 41,600 $ 27,600