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The following is information for Palmer Co. 2016 2015 2014 Cost of goods sold $643,825 $426,650...

The following is information for Palmer Co. 2016 2015 2014 Cost of goods sold $643,825 $426,650 $391,300 Ending inventory 97,400 87,750 92,500 Required: Use the above information to compute inventory turnover for 2016 and 2015, and its days' sales in inventory at December 31, 2016 and 2015.

(a) Use the above information to compute inventory turnover for 2015, and its days' sales in inventory at December 31, 2015.
Numerator / Denominator = Ratio
Inventory turnover $426,650 / $90,125 = 4.7 times
Days' sales in inventory x 365 = 0
(b) Use the above information to compute inventory turnover for 2016, and its days' sales in inventory at December 31, 2016.
Numerator / Denominator = Ratio
Inventory turnover $643,825 / $92,575 = 7.0 times
Days' sales in inventory x 365 = 0
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