Toys "R" Us had cost of goods sold of $6,900 million.Its ending inventory was $2,000 million.Therefore its days' sales in inventory was 90 days.

Name: Toys "R" Us had cost of goods sold of $6,900 million.Its ending inventory was $2,000 million.Therefore its days' sales in inventory was 90 days.
Brand: Quizplus
Rating: 4.7 (59 reviews)

Question

Quizplus · Accepted Answer

The days' sales in inventory is calculated as (Ending Inventory / Cost of Goods Sold) * 365. Using the given numbers, it would be (2,000 / 6,900) * 365 ≈ 105.8 days, not 90 days.

Toys "R" Us Had Cost of Goods Sold of $6,900