Sales = $96,250 Total Overhead Expenses = $19,963 (40% Variable, 60% Fixed) Inventory on Hand = $17,605 Cash-on-Hand = $1,133 Fixed Assets = $24,580 Interest = $885 Cost of Goods Sold = $64,194 Net Accounts Receivable = $0 Other Current Assets = $1,322 Inventory Carrying Costs = 20%/year Taxes = $2,766 Note: All dollar figures are in millions. 1. Populate the spreadsheet template, calculating Net Income $, Profit Margin %, Asset Turnover %, Return on Assets %, and Inventory Turns. Assume the average inventory for the year is equal to the inventory on-hand. 2. Recalculate metrics based on a 10% reduction in inventory. Assume that all inventory carrying cost reductions come out of variable OH expenses. Assume Interest & Taxes do not change. 3. Recalculate metrics based on a 20% reduction in inventory. Assume that all inventory carrying cost reductions come out of variable OH expenses. Assume Interest & Taxes do not change.

fill out entire spreadsheet!

Sales =$96,250 Cost of Goods Sold =$64,194 Total Overhead Expenses =$19,963 (40\% Variable, 60% Fixed) Inventory on Hand=$17,605 Cash-on-Hand =$1,133 Fixed Assets =$24,580 Interest =$885 Net Accounts Receivable =$0 Other Current Assets =$1,322 Inventory Carrying Costs =20%/ year Taxes =$2,766 Note: All dollar figures are in millions. 1. Populate the spreadsheet template, calculating Net Income $, Profit Margin \%, Asset Turnover \%, Return on Assets \%, and Inventory Turns. Assume the average inventory for the year is equal to the inventory on-hand. 2. Recalculate metrics based on a 10% reduction in inventory. Assume that all inventory carrying cost reductions come out of variable OH expenses. Assume Interest \& Taxes do not change. 3. Recalculate metrics based on a 20% reduction in inventory. Assume that all inventory carrying cost reductions come out of variable OH expenses. Assume Interest \& Taxes do not change