Smithson Electrical Fixtures Reported the Following Income Statement for the Year

question 117

Essay

Smithson Electrical Fixtures reported the following income statement for the year ended December 31,2019.
$\begin{array}{c}\text { Smithson Electrical Fixtures}\\\text { Income Statement }\\\text { Year Ended December 31, 2019}\\\begin{array}{|l|r|r|}\hline\text { Sales Revenue } & & \$ 258,000 \\\hline \text { Cost of Goods Sold } & & \\\hline \text { Beginning Merchandise Inventory } & \$ 43,500 & \\\hline \text { Net Cost of Purchases } & \underline{145,000} & \\\hline \text { Cost of Goods Available for Sale } & 188,500 &\\\hline \begin{array}{l}\text { Less: Ending Mercha } \\ \text { Inventory }\end{array} & 38,000 & \\\hline \text { Cost of Goods Sold: } & & 150,500 \\\hline \text { Gross Profit } & & 107,500 \\\hline \text { Operating Expenses } & & 87,200 \\\hline \text { Net Income } & & \$20,300\\\hline\end{array}\end{array}$
Compute inventory turnover rate for the year.(Round to two decimal places.)
Compute days' sales in inventory for the year.(Round to two decimal places.)

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Definitions:

Heritability

A measure of how much genetic factors contribute to the differences in a trait among individuals within a population.

Heuristic

A problem-solving approach using practical methods or shortcuts to generate satisfactory, though not always optimal, solutions.

Algorithm

A step-by-step procedure or formula for solving a problem or accomplishing some end within a finite number of steps.

Ethnic Minority

A group of people who have different national or cultural traditions from the main population within a country or region.