Widget Inc wants to compare its inventory turnover to those of industry leaders,

Widget Inc wants to compare its inventory turnover to those of industry leaders, who have turnover of 13 times per year and 8% of their assets invested in inventory.

 

a. What is Widget Inc inventory turnover?
b. What is Widget Inc percent of assets committed to inventory?
c. How does Widget Inc”s performance compare to industry leaders?

Solution

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