The January 28, 2017 (fiscal year 2016) financial statements of Caleres, Inc. reported the following information (in thousands):
The footnotes to the 2016 financial statements of Skechers U.S.A., Inc., a competitor of Caleres, Inc., reported that the company uses the FIFO method of accounting for inventories. Financial statements reported the following (in thousands):
Compare the two companies' days-inventory-outstanding ratios for 2016. To do this properly, you will need to convert the companies' cost of sales and inventories to a common inventory costing method. Which company is more efficient with its inventory?

Question

The January 28, 2017 (fiscal year 2016) financial statements of Caleres, Inc. reported the following information (in thousands):
  The footnotes to the 2016 financial statements of Skechers U.S.A., Inc., a competitor of Caleres, Inc., reported that the company uses the FIFO method of accounting for inventories. Financial statements reported the following (in thousands):
  Compare the two companies' days-inventory-outstanding ratios for 2016. To do this properly, you will need to convert the companies' cost of sales and inventories to a common inventory costing method. Which company is more efficient with its inventory?

Quizplus · Accepted Answer

The Answer of The January 28, 2017 (fiscal year 2016) financial statements of Caleres, Inc. reported the following information (in thousands):
  The footnotes to the 2016 financial statements of Skechers U.S.A., Inc., a competitor of Caleres, Inc., reported that the company uses the FIFO method of accounting for inventories. Financial statements reported the following (in thousands):
  Compare the two companies' days-inventory-outstanding ratios for 2016. To do this properly, you will need to convert the companies' cost of sales and inventories to a common inventory costing method. Which company is more efficient with its inventory?

The January 28, 2017 (Fiscal Year 2016) Financial Statements of Caleres