1. ABC Inc. provided the following data for the year end:

Cost of goods sold	$4,680,000
Inventory at the beginning of the year	678,000
Inventory at the end of the year	570,000

What is ABC Inc.'s days' sale in inventory? (Assume 360 days in a year)

a.95 days

b.48 days

c.13 days

d.60 days

2. In a period of rising prices, the effect of selecting the FIFO rather than the LIFO method of inventory valuation results in:

a.a higher days' sales in inventory.

b.a lower days' sales in inventory.

c.a lower return on sales.

d.a higher days' sales in receivables.

3.

Dana Inc. showed the following data for the year end:

Cash sales	$4,100,000
Credit sales	5,900,000
Accounts receivable, beginning of the year	600,000
Accounts receivable, end of the year	400,000

Calculate Dana Inc.'s days' sales in receivables. (Round the answer to the nearest whole number.)

a.12 days

b.61 days

c.44 days

d.30 days