Kelley,Inc.provided the following account balances for 2018:

Calculate the average number of days that inventory was held by Kelley,Inc.during 2018.(Assume 365 days in a year.Round your intermediate calculations and final answer to two decimal places. )

Question

Kelley,Inc.provided the following account balances for 2018:

Calculate the average number of days that inventory was held by Kelley,Inc.during 2018.(Assume 365 days in a year.Round your intermediate calculations and final answer to two decimal places. )

Quizplus · Accepted Answer

D)Inventory Turnover:
Cost of goods sold / Average merchandise inventory
1,300,000 / 340,000 = 3.82
Days' sales in inventory: 365 days / Inventory turnover
365 / 3.82 = 95.55

Kelley,Inc.provided the Following Account Balances for 2018