Homework Answers
First we will calculate the cost of goods sold as per below:
Gross profit margin = 40% . It means cost of goods sold = 60%. So,
Cost of goods sold = 60% * Revenues
Cost of goods sold = 60% * $100m = $60m
Now,
Formula for inventory turnover = Cost of the goods sold / inventory
Given: Cost of the goods sold = $60m, Inventory turnover = 50
Putting the values in the above formula, we get,
50 = $60 / Inventory
Inventory = $60 / 50
Inventory = $1.2 million
So, inventory at end of the year = $1.2m
Add Answer to:
35. Suppose that the Provo Proofing Company (PPC) has an inventory turnover of fifty times for the current fiscal ye...
Calculating Gross Profit Margin and Inventory Turnover The following table presents sales revenue, cost of goods...
Calculating Gross Profit Margin and Inventory Turnover The following table presents sales revenue, cost of goods sold, and inventory amounts for three retailers of fine jewelry, Tiffany & Co., Zale Corporation, and Blue Nile, Inc. (an Internet retailer). (5 millions) 2013 2012 Tiffany & Co. Revenues $4,031 $3,794 Cost of goods sold 1,091 1,631 Inventory 2.327 2.234 Zale Corporation Revenues 51,885 51.867 Cost of goods sold 904 906 Inventory 768 742 Blue Nile, Inc Revenues 5450 5400 Cost of goods...
Calculating Gross Profit Margin and Inventory Turnover The following table presents sales revenue, cost of goods...
Calculating Gross Profit Margin and Inventory Turnover The following table presents sales revenue, cost of goods sold, and inventory amounts for three retailers of fine jewelry, Tiffany & Co., Zale Corporation, and Blue Nile, Inc. (an Internet retailer). 2013 2012 $4,031 53,794 1,091 1,631 2.327 2.234 (5 millions) Tiffany & Co. Revenues cost of goods sold Inventory Zale Corporation Revenues Cost of goods sold Inventory Blue Nile, Inc. Revenues cost of goods sold Inventory 51.888 $1.867 904 906 768 742...
Computing Cost of Sales and Ending Inventory Stocken Company has the following financial records for the...
Computing Cost of Sales and Ending Inventory Stocken Company has the following financial records for the current period: Units Unit cost Beginning inventory 100 $48 Purchases #1 650 44 #2 550 40 #3 200 38 Ending inventory at the end of this period is 350 units. Compute the ending inventory and the cost of goods sold for the current period using (a) first-in, first-out, (b) average cost, and (c) last-in, first-out. FIFO Average cost LIFO Cost of goods sold Answer...
Mandesa, Inc. has current liabilities of $9,400,000, current ratio of 1.8 times, inventory turnover of 10...
Mandesa, Inc. has current liabilities of $9,400,000, current ratio of 1.8 times, inventory turnover of 10 times, average collection period of 44 days, and credit sales of $65,400,000. Calculate the value of cash and marketable securities. (Use 365 days a year. Do not round your intermediate calculations. Round your final answer to the nearest dollar amount.)
Tab, Inc., Income Statements for Fiscal Years 2003, 2004, and 2005 Amount (in millions of dollars)...
Tab, Inc., Income Statements for Fiscal Years 2003, 2004, and 2005 Amount (in millions of dollars) 2005 2004 2003 Revenues $25,000 20,000 $22,000 18,000 $21,000 17,000 Cost of sales $4,000 Gross profit Selling, general, and administrative expenses $5,000 500 $4,000 800 500 Operating income Interest and other nonoperating expense $4,500 200 $3,500 250 $3,200 250 $2,950 Earnings before income taxes Income tax $4,300 1.410 $3,250 975 885 Net income $2,890 $2,275 $2,065 Tab, Inc., Balance Sheets as of End of...
Cadux Candy Company’s income statement for the year ended December 31, 2021, reported interest expense of...
Cadux Candy Company’s income statement for the year ended December 31, 2021, reported interest expense of $12 million and income tax expense of $122 million. Current assets listed in its balance sheet include cash, accounts receivable, and inventory. Property, plant, and equipment is the company’s only noncurrent asset. Financial ratios for 2021 are listed below. Profitability and turnover ratios with balance sheet items in the denominator were calculated using year-end balances rather than averages. Debt to equity ratio 0.7 Current...
Calculating Gross Profit and Inventory Turnover The following table presents sales revenue, cost of goods sold,...
Calculating Gross Profit and Inventory Turnover The following table presents sales revenue, cost of goods sold, and inventory amounts for three computer/electronics companies, Samsung Electronics Co., Hewlett- Packard Company, and Apple Inc. Smilliens Fiscal year ending Samsung Electronics Co. Ltd. S. Korean Won Dec 31, 2014 Dec 31, 2013 Dec 31, 2012 Revenues 206,205,987 228,602,667 201,103,613 Cost of goods sold 128.273,800 137,696,309 126,651,931 Inventory 17,317.504 19.134.868 17,747,413 Hewlett-Packard Company (US dollar) Oct. 31, 2014 Oct. 31, 2013 Oct. 31, 2012...
Part B Calculating Gross Profit and Inventory Turnover The following table presents sales revenue, cost of...
Part B
Calculating Gross Profit and Inventory Turnover The following table presents sales revenue, cost of goods sold, and inventory amounts for three computer/electronics companies, Samsung Electronics Co., Hewlett-Packard Company, and Apple Inc. Fiscal year ending Dec. 31, 2013 228,692,667 $ millions Samsung Electronics Co. Ltd.(S. Korean won) Dec. 31, 2014 Dec. 31, 2012 Revenues Cost of goods sold Inventory 206,205,987 201,103,613 28,278,800 137,696,309 126,651,93 7,317,504 19,134,868 17,747,413 Oct. 31, 2014 oct. 31, 2013 Oct. 31, 2012 77,887 59,468 6,317...
The Jones Sales Company had a gross profit margin of 26% and sales of $9.2 million...
The Jones Sales Company had a gross profit margin of 26% and sales of $9.2 million last year. 76% of the firm's sales are on credit, and the remainder are cash sales. Jones current assets equal $1.7 million, its current liabilities equal $295,400, and it has $108,300 in cash plus marketable securities. If Jones accounts receivable equal $563,200 what is its average collection period? If Jones reduces its average collection period to 25 days, what will be its new level...
The Brenmar Sales Company had a gross profit margin (gross profits divided by sales) of 29...
The Brenmar Sales Company had a gross profit margin (gross profits divided by sales) of 29 percent and sales of $8.1 million last year. 78 percent of the firm's sales are on credit, and the remainder are cash sales. Brenmar's current assets equal $1.8 million, its current liabilities equal $298,800 and it has $107,300 in cash plus marketable securties. A. If Brenmar's accounts receivale equal $561,600, what is is average collection period? B. If Brenmar reduces its average collection period...
Calculating Gross Profit Margin and Inventory Turnover The following table presents sales revenue, cost of goods sold, and inventory amounts for three retailers of fine jewelry, Tiffany & Co., Zale Corporation, and Blue Nile, Inc. (an Internet retailer). (5 millions) 2013 2012 Tiffany & Co. Revenues $4,031 $3,794 Cost of goods sold 1,091 1,631 Inventory 2.327 2.234 Zale Corporation Revenues 51,885 51.867 Cost of goods sold 904 906 Inventory 768 742 Blue Nile, Inc Revenues 5450 5400 Cost of goods...
Calculating Gross Profit Margin and Inventory Turnover The following table presents sales revenue, cost of goods sold, and inventory amounts for three retailers of fine jewelry, Tiffany & Co., Zale Corporation, and Blue Nile, Inc. (an Internet retailer). 2013 2012 $4,031 53,794 1,091 1,631 2.327 2.234 (5 millions) Tiffany & Co. Revenues cost of goods sold Inventory Zale Corporation Revenues Cost of goods sold Inventory Blue Nile, Inc. Revenues cost of goods sold Inventory 51.888 $1.867 904 906 768 742...
Tab, Inc., Income Statements for Fiscal Years 2003, 2004, and 2005 Amount (in millions of dollars) 2005 2004 2003 Revenues $25,000 20,000 $22,000 18,000 $21,000 17,000 Cost of sales $4,000 Gross profit Selling, general, and administrative expenses $5,000 500 $4,000 800 500 Operating income Interest and other nonoperating expense $4,500 200 $3,500 250 $3,200 250 $2,950 Earnings before income taxes Income tax $4,300 1.410 $3,250 975 885 Net income $2,890 $2,275 $2,065 Tab, Inc., Balance Sheets as of End of...
Calculating Gross Profit and Inventory Turnover The following table presents sales revenue, cost of goods sold, and inventory amounts for three computer/electronics companies, Samsung Electronics Co., Hewlett- Packard Company, and Apple Inc. Smilliens Fiscal year ending Samsung Electronics Co. Ltd. S. Korean Won Dec 31, 2014 Dec 31, 2013 Dec 31, 2012 Revenues 206,205,987 228,602,667 201,103,613 Cost of goods sold 128.273,800 137,696,309 126,651,931 Inventory 17,317.504 19.134.868 17,747,413 Hewlett-Packard Company (US dollar) Oct. 31, 2014 Oct. 31, 2013 Oct. 31, 2012...
Part B
Calculating Gross Profit and Inventory Turnover The following table presents sales revenue, cost of goods sold, and inventory amounts for three computer/electronics companies, Samsung Electronics Co., Hewlett-Packard Company, and Apple Inc. Fiscal year ending Dec. 31, 2013 228,692,667 $ millions Samsung Electronics Co. Ltd.(S. Korean won) Dec. 31, 2014 Dec. 31, 2012 Revenues Cost of goods sold Inventory 206,205,987 201,103,613 28,278,800 137,696,309 126,651,93 7,317,504 19,134,868 17,747,413 Oct. 31, 2014 oct. 31, 2013 Oct. 31, 2012 77,887 59,468 6,317...
Most questions answered within 3 hours.
-
Prior to beginning work on this discussion, please read the
article by Hayley Peterson, 15 Companies...
asked 3 minutes ago -
Which pair of aqueous solutions, when mixed, will form a
precipitate?
A) NaNO3 and AgC2H3O2
B)...
asked 20 minutes ago -
1-Write an algorithm to get two numbers from the user (as
inputs) and calculate the sum...
asked 3 hours ago -
Define white-collar crime. What is the difference between
offender and offense-based definitions of white-collar crime? What...
asked 4 hours ago -
Consider a reaction which is 1st order with respect to A and 1st
order with respect...
asked 4 hours ago -
c++
The length of the hypotenuse of a right-angled triangle is the
square root of the...
asked 4 hours ago -
When a metal rod is heated, not only its resistance but also its
length and cross‐sectional...
asked 4 hours ago -
write a c++ program that computes the L^1 - Norm of a given
vector (L^1 norm...
asked 4 hours ago -
A manufacturer of banana chips would like to know whether its
bag filling machine works correctly...
asked 4 hours ago -
Complete the chapter case, "Turnover Analysis".
Chapter Case
Turnover Analysis
You recently completed your company’s new...
asked 4 hours ago -
What is the pH of solutions having the following H3O+
concentrations? Identify each as acidic, basic,...
asked 5 hours ago -
How does over-voltage of the diode usually occur?
asked 5 hours ago