Cordillera Carson Company has the following balance sheet and income statement for 2007 (in thousands): Cash: 800 Accounts Payable: 720 Accounts receivable: 2,300 Accruals: 260 Inventory (2,500 for 2006) 2,100 Short term loans: 2,100 Total Current Assest: 5,200 Current Liabilities: 3,080 Net Fixed Assets: 3,320 Long-term debt: 2,000 Shareholders' Equity: 3,440 Total Assets: 8,520 Total Liabilities and equity: 8,520 Income Statement Net sales (all credit): 22680 Costs of goods sold: 8,930 Gross profit: 13,750 Selling , General, and Admin. Expenses: 2,230 Inteest expenses: 460 Profit before taxes: 11,060 Taxes: 390 Profit after taxes: 10,670

 

On the basis of this information, compute the inventory turnover ratio.    

 

Answer rating: 100% (QA)

To compute the inventory turnover ratio we use the formula Invent... View the full answer