The Following Data Were Taken from Castle, Inc.​

question 168

Essay

The following data were taken from Castle, Inc.​
Cost of goods sold
$894,000
Inventory, end of year
78,000
Inventory, beginning of the year
92,000
Determine the inventory turnover ratio and the number of days' sales in inventory for Castle Inc. Round to two decimal places.

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Definitions:

Market Value

The existing cost for buying or selling an asset or company in the market.

Taxable Income

The amount of an individual's or entity's income used to determine how much tax is owed, calculated by deducting allowable deductions and exemptions from gross income.

Tangible Asset

Physical and material assets that can be seen, touched, or quantified, such as machinery, buildings, and inventory.

Goodwill

The intangible asset that arises when a business is acquired for more than the fair value of its net identifiable assets.