Ribaudo Corporation has provided the following financial data from its balance sheet and income statement: The company's inventory turnover for Year 2 is closest to:

Name: Ribaudo Corporation has provided the following financial data from its balance sheet and income statement: The company's inventory turnover for Year 2 is closest to:
Brand: Quizplus
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Question

Ribaudo Corporation has provided the following financial data from its balance sheet and income statement:  The company's inventory turnover for Year 2 is closest to:

Quizplus · Accepted Answer

Inventory turnover = Cost of goods sold ÷ Average inventory*
= $700,000 ÷ $176,500 = 3.97 (rounded)
*Average inventory =
($173,000 + $180,000)÷ 2 = $176,500

Ribaudo Corporation Has Provided the Following Financial Data from Its