Anthony Corporation Reported the Following Amounts for the Year $\begin{array}{lr}\text { Net sales } & \$ 296,000 \\\text { Cost of goods sold } & 138,000 \\\text { Average inventory } & 50,000\end{array}$

question 71

Multiple Choice

Anthony Corporation reported the following amounts for the year:
$\begin{array}{lr}\text { Net sales } & \$ 296,000 \\\text { Cost of goods sold } & 138,000 \\\text { Average inventory } & 50,000\end{array}$
Anthony's average days in inventory is:

• A)170 days.
• B)114 days.
• C)132 days.
• D)151 days.

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Definitions:

Fair Market Value

The price at which an asset would trade in a competitive auction setting.

Business Combination

A transaction or event in which an acquirer gains control over one or more businesses.

Consolidated Balance Sheet

A financial statement that presents the total assets, liabilities, and shareholders' equity of a parent company and its subsidiaries as one single entity.

Acquisition Differential

The variance between the purchase price of an acquisition and the fair value of the net assets that are distinctly recognized.