The Following Information Pertains to Unique Company What Is the Inventory Turnover for This Company?
A) 2

question 55

Multiple Choice

The following information pertains to Unique Company. Assume that all balance sheet amounts represent both average and ending balance figures. Assume that all sales were on credit. $\begin{array}{lr}\text { Assets }\\\text { Cash and short-term investments } & \$ 40,000 \\\text { Accounts receivable (net) } & 30,000 \\\text { Inventory } & 20,000 \\\text { Property, plant and equipment } & 210,000 \\\text { Total Assets } & \$ 300,000\\\\\text { Liabilities and Stockholders' Equity }\\\text { Current liabilities } & \$ 60,000 \\\text { Long-term liabilities } & 90,000 \\\text { Stockholders' equity-common } & 150,000 \\\text { Total Liabilities and Stockholders' Equity } & \$ 300,000\\\\\text { Income Statement }\\\text { Sales revenue } & \$ 90,000 \\\text { Cost of goods sold } & 45,000 \\\text { Gross margin } & 45,000 \\\text { Operating expenses } & 20,000 \\\text { Net income } & \$ 25,000 \\& \\\text { Number of shares of common stock } & 6,000 \\\text { Market price of common stock } & \$ 20 \\\text { Dividends per share on common stock } & 0,90 \\\text { Cash provided by onerations } & \$ 30,000\end{array}$ What is the inventory turnover for this company?

• A) 2 times
• B) 2.25 times
• C) 1 time
• D) .44 times

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Definitions:

Telepresence

Technology-enabled feeling of presence, allowing people to feel or appear as if they are present in a location different from their physical one.

Video Conferencing

A technology that allows people in different locations to conduct face-to-face meetings without the need to travel.

Web Cameras

Electronic devices designed to capture and stream video content in real-time over the internet or for video calls.

Information Overload

A condition in which a person cannot process all the messages he or she receives.