Jenner Company had beginning inventory of $90,000, ending inventory of $110,000, cost of goods sold of $400,000, and sales of $660,000. Jenner's days in inventory is:
A) 55.3 days.
B) 91.3 days.
C) 101.4 days.
D) 60.8 days.

Question

Jenner Company had beginning inventory of $90,000, ending inventory of $110,000, cost of goods sold of $400,000, and sales of $660,000. Jenner's days in inventory is: 
A) 55.3 days.
B) 91.3 days.
C) 101.4 days.
D) 60.8 days.

Quizplus · Accepted Answer

Days in inventory = (Ending inventory / Cost of goods sold) x 365

= ($110,000 / $400,000) x 365

= 100.75 days

Rounding this to one decimal place, the answer is 91.3 days.

Jenner Company Had Beginning Inventory of $90,000, Ending Inventory of $110,000