Compare the 2014 inventory turnover results for two publicly traded companies titled “Wal-Mart and Target”

Write an executive summary detailing the respective inventory turnover ratios for the given period, giving the equivalent number of days of inventory for each company, and the potential financial impact if the under-performing company could match the inventory turnover ratio of the higher-performing company. Assume a 25% carrying cost ratio. Be careful to use the correct units for the financial impact. (Financial numbers in Income Statements and Balance Sheets are often in $millions.)

Answer rating: 100% (QA)

Executive Summary Inventory ratio is used to measure the rate at which inventory is utilized over a given measurement period Inventory ratio can be calculated for any inventory this includes any mater... View the full answer