The cost of goods sold computations for Silver Company and Gold Company are shown below.
|
Silver Company |
Gold Company |
|
|
Beginning inventory |
47,000 |
71,000 |
|
Cost of goods purchased |
200,000 |
290,000 |
|
Cost of goods available for sale |
247,000 |
361,000 |
|
Ending inventory |
55,000 |
69,000 |
|
Cost of goods sold |
192,000 |
292,000 |
Instructions:
(a) Compute inventory turnover for each company. (Round answers to 2 decimal places, e.g. 1.25.)
(b) Compute days in inventory for each company. (Round inventory turnover values to 2 decimal places, e.g. 1.25 and final answers to 0 decimal places, e.g. 125.)