This information is available for Paik’s Photo Corporation for 2010, 2011, and 2012.
|
2010 |
2011 |
2012 |
|
|
Beginning inventory |
$ 100,000 |
$ 300,000 |
$ 400,000 |
|
Ending inventory |
300,000 |
400,000 |
480,000 |
|
Cost of goods sold |
900,000 |
1,120,000 |
1,300,000 |
|
Sales revenue |
1,200,000 |
1,600,000 |
1,900,000 |
Instructions
Calculate inventory turnover, days in inventory, and gross profit rate for Paik’s Photo Corporation for 2010, 2011, and 2012. Comment on any trends.