Calculate the Average Inventory and Inventory Turnover Ratios

question 3

Short Answer

Calculate the average inventory and inventory turnover ratios: $$\begin{array} { l l l l l l } & \text { Beginning } & \text { Ending } & \text { Average } & \text { Cost of } & \text { Inventory } \\\text { Company } & \text { Inventory } & \text { Inventory } & \text { Inventory } & \text { Goods Sold } & \text { Turnover } \\\text { Ace Appliances } & \$ 115,800 & \$ 216,800 & & \$ 565,400 &\end{array}$$

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Definitions:

Nemerteans

The phylum of animals commonly known as ribbon worms; each has a proboscis (tubular feeding organ) for capturing prey.

Proboscis

A long projection originating from an animal's head, particularly in insects, that serves for either eating or detecting stimuli.

Spongocoel

The central cavity of a sponge.

Mesophyll

Photosynthetic tissue in the interior of a leaf; sometimes differentiated into palisade mesophyll and spongy mesophyll.