HORNGREN'S FINANCIAL & MANGERIAL ACCOUNT
7th Edition
ISBN: 9780136505273
Author: MILLER-NOBLES
Publisher: PEARSON
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Textbook Question
Chapter 15, Problem 5QC
Liberty's inventory turnover during 2017 was (amounts rounded)
a. 6 times.
b. 7 times.
c. 8 times.
d. not determinable from the data given.
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Students have asked these similar questions
The following information is available for Bridgeport Corp. for three recent fiscal years.
2015
$325.447
1,285,838
965,338
2017
Inventory
$554,103
Net sales -
1,965,543
Cost of goods sold 1.572,196
Calculate the inventory turnover, days in inventory, and gross profit rate for 2017 and 2016. (Round Inventory turnover to 1 decimal
place, e.g. 5.2, days in inventory to O decimal places, eg. 125 and gross profit rate to 1 decimal place, e.g. 5.2%)
Inventory Turnover
Days in Inventory
2016
$572,288
1.739,520
1.307,512
Gross Profit Rate
2017
times
days
2016
times
days
To answer the following questions, use the following information. Round to 1 decimal place for percentages.
2018
2017
2016
Cost of merchandise sold
20,441
19,038
17,405
Inventories
5,261
5,055
4,838
Required:
A. Calculate the inventory turnover for the Years 2017 and 2018.
B. Calculate the days' sales in inventory for the Years 2017 and 2018.
C. Is the change in both the inventory turnover and the days' sales in inventory from 2017 to 2018 favorable or is it unfavorable? Explain your answer.
Headlands Industries reports net income of $86,320 in 2017. However, ending inventory was understated by $6,990.
What is the correct net income for 2017?
The correct net income
List of Accounts
What effect, if any, will this error have on total assets as reported in the balance sheet at December 31, 2017?
in the balance sheet will be
v by the amount that ending inventory is
$
List of Accounts
%24
Chapter 15 Solutions
HORNGREN'S FINANCIAL & MANGERIAL ACCOUNT
Ch. 15 - What part of the Libertys annual report is written...Ch. 15 - Horizontal analysis of Liberty's balance sheet for...Ch. 15 - Vertical analysis of Liberty's balance sheet for...Ch. 15 - Which statement best describes Liberty's acid-test...Ch. 15 - Liberty's inventory turnover during 2017 was...Ch. 15 - Prob. 6QCCh. 15 - Prob. 7QCCh. 15 - Liberty's rate of return on common stockholders'...Ch. 15 - The company has 2,500 shares of common stock...Ch. 15 - What ate the three main ways to analyze financial...
Ch. 15 - What is an annual report? Briefly describe the key...Ch. 15 - Prob. 3RQCh. 15 - What is trend analysis, and how does it differ...Ch. 15 - Prob. 5RQCh. 15 - Prob. 6RQCh. 15 - Prob. 7RQCh. 15 - Briefly describe the ratios that can be used to...Ch. 15 - Prob. 9RQCh. 15 - Briefly describe the ratios that can be used to...Ch. 15 - Briefly describe the ratios that can be used to...Ch. 15 - Prob. 12RQCh. 15 - Prob. 13RQCh. 15 - Prob. 15.1SE
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