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Perez Corporation has the following financial data for the years 20X1 and 20X2: 20x1 20X2 Sales Cost of goods sold Inventory 4,494,000 5,775,000 4,675,00e 550,000 3,424,00e 428,000 a. Compute the inventory turnover for each year using the formula Sales/Inventory. (Round your answers to 2 decimal places.) Inventory Turnover times times Ratio 20X1 20X2 b. Compute inventory turnover based on an alternative calculation that is used by many financial analysts, Cost of goods sold/Inventory for each year. (Round your answers to 2 decimal places.) Inventory Turnover Ratio 20X1 times 20X2 times

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20111 2012 10.50 times a) 10.50 times 2011 2012 8.00 times 8.50 times 122 4 (5 2011 2012 a) -4494000/428000 times -5775000/550000 times 10 b) 2011 2012 -3424000/428000 times -4675000/550000 times 12 13

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