Reference no: EM132534339

Inventory Analysis

The following data were extracted from the income statement of Keever Inc.:

                                Current Year                       Previous Year

Sales                            $1,095,000                        $1,143,200

Beginning inventories          62,850                                60,472

Cost of goods sold             547,500                               635,100

Ending inventories                   56,850                               62,850

Question a. Determine for each year the inventory turnover and the number of days' sales in inventory. Round interim calculations to the nearest dollar and the final answers to one decimal place. Assume 365 days a year.