what is the inventory turnover for walmart and target in 2014. list net revenue, cost of goods sold, inventory, and the total average inventory investment
Inventory Turnover Ratio = Cost of Goods Sold / Average Inventory
= 358118 / 44330.5
= 8.08
Target for 2014 was 9.64 but actual achieved was 8.08 i.e. the targets were not met but the performance in that year was better than other years.
Net revenue = 473076
Cost of goods sold = 358118 i.e. 75.7% of net sales and gross profit is 24.3% of net sales.
Inventory = 44858
Total average inventory investment = (Opening inventory + closing inventory)/2
= (43803+44858)/2
= 44330.5
The values have been taken from the annual reports of Walmart.
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