Question

The Dockside Shop had the following inventory data: Click the icon to view the inventory data) Read the requirements Requirement 1. Dockside need to know the company's gross profit percentage and rate of inventory turnover for 2018 under (1) FIFO, and (2) LIFO. Begin by calculating the gross profit percentage. (Enter the percentage to the nearest tenth of a percent, XX%.) a FIFO b.LIFO Gross profit percentage % Data Table 2017 2018 Ending inventory at: FIFO Cost ........$ 21,510 $ 30,490 LIFO Cost ....... 9,000 20,480 Cost of goods sold at: FIFO Cost $ 85,800 LIFO Cost 95,810 Sales revenue 141000 Print Done Enter any number in the edit fields and then click Check Answer 2 2 parts remaining Clear All & Financial Account mot a

Answer 1

Gross profit %
	FIFO	LIFO
Sales (B)	143000	143000
COGS	85800	95810
Gross profit (A)	57200	47190
Gross profit (%) A/B*100	40%	33%

Inventory turnover ratio
ie Cost of Goods Sold ÷ Average Inventory
	FIFO	LIFO
COGS (A)	85800	95810
Beginning Inventory (2017)	21510	9000
Closing Inventory (2018)	30490	20480
Average Inventory (B)	26000	14740
Inventory turover ratio	3.3	6.5
Ie A/B

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