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A company reported the following data: Year 1 Year 2 Cost of goods sold $425,000 $486,000 Ending inventory 140,000 175,000

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Question:

A company reported the following data:

Year 1Year 2
Cost of goods sold$425,000$486,000
Ending inventory140,000175,000


Required:

1. Calculate the days' sales in inventory for each year.
2. Comment on the trend in inventory management.

Expert Answer:

Answer rating: 100% (QA)

The answer has been presented in the supporting sheet For detailed answer refer to the suppo View the full answer


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Related Book For  answer-question
Horngrens Financial and Managerial Accounting

Horngrens Financial and Managerial Accounting

ISBN: 978-0133866292

5th edition

Authors: Tracie L. Nobles, Brenda L. Mattison, Ella Mae Matsumura

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Posted Date: June 23, 2022 04:45:58
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