Your friend had come with the fantastic idea of selling beergaritas at the bar that two...

 

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Your friend had come with the fantastic idea of selling beergaritas at the bar that two of you started. At the end of the year, your financial results from the beer business were as following: • Revenue: $1,500,000 • Cost of Goods Sold: $1,000,000 • Inventory: $120,000 The annual cost of holding inventory: 15% (a) The annual inventory turn is: (b) The per unit inventory cost %, or PUIC % is: :C 3% Your friend had come with the fantastic idea of selling beergaritas at the bar that two of you started. At the end of the year, your financial results from the beer business were as following: • Revenue: $1,500,000 • Cost of Goods Sold: $1,000,000 • Inventory: $120,000 The annual cost of holding inventory: 15% (a) The annual inventory turn is: (b) The per unit inventory cost %, or PUIC % is: :C 3%

Answer rating: 100% (QA)

To calculate the annual inventory turn and per unit inventory cost percentage PUIC we need to use th... View the full answer