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Excerpts from TPX Company's December 31, 2013 and 2012, Financial

Question 53

Multiple Choice

Excerpts from TPX Company's December 31, 2013 and 2012, financial statements are presented below:
20132012 Accounts receivable $80,000$72,000 Inventory 84,00070,000 Net sales 400,000372,000 Cost of goods sold 254,000216,000 Total assets 850,000810,000 Total stockholders’ equity 500,000450,000 Net income 75,00056,000\begin{array}{lrr}&2013&2012\\\text { Accounts receivable } & \$ 80,000 & \$ 72,000 \\\text { Inventory } & 84,000 & 70,000 \\\text { Net sales } & 400,000 & 372,000 \\\text { Cost of goods sold } & 254,000 & 216,000 \\\text { Total assets } & 850,000 & 810,000 \\\text { Total stockholders' equity } & 500,000 & 450,000 \\\text { Net income } & 75,000 & 56,000\end{array}
-TPX Company's 2013 average days in inventory is:


A) 121.7 days.
B) 70.2 days.
C) 110.6 days.
D) 101.4 days.

Correct Answer:

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