User Account

All Pages

Calculate inventory turnover based on fifo

Assignment Help Financial Management
Reference no: EM132359834

Question :

Calculate inventory turnover, days in inventory, and current ratio based on FIFO. This information is available for the Automotive and Electronics Divisions of Prestige Motors Ltd for 2018. Prestige Motors uses the FIFO inventory method.

(in millions)

2018

Beginning inventory

$ 36 306

Ending inventory

36 621

Current assets

133 089

Current liabilities

143418

Cost of sales

353919

Sales

421 299

Required

(a) Calculate inventory turnover, days in inventory, and current ratio for Prestige Motors Ltd for 2018.

(b) If a company has a low inventory turnover or high days in inventory, is it considered to be a good or bad sign for the entity's shareholders? Explain your answer.

Reference no: EM132359834

Questions Cloud

Is outsourcing a threat to your future : Answer the questions that follow based on these articles: 1. Is outsourcing a threat to your future? Explain.
Factorial design with three independent variables : An experiment involving an experimental group and a control group, and (b) a factorial design with three independent variables that have 3, 2, and 2 levels
Interrelationships between causes of a product defect : You are a project manager and wish to meet with your key project team members to understand the interrelationships between causes of a product defect.
Prepare an income statement and classified balance sheet : Prepare an income statement, statement of stockholders' equity, and classified balance sheet. Create closing journal entries to close all temporary accounts.
Calculate inventory turnover based on fifo : If a company has a low inventory turnover or high days in inventory, is it considered to be a good or bad sign for the entity's shareholders?Explain your answer
Organizational behavior theories to be most beneficial : What knowledge or skills from Organizational Behavior theories to be most beneficial?
Research paper on your approved topic : Using the information and feedback gained from the Topic, Annotated Bibliography, and Working Outline, you will create a Research Paper on your approved topic
How about for management reserves : How about for management reserves? What are unknown unknowns? What would you do to establish management reserve amounts?"
Challenges from an organizational behavior standpoint : Discuss a few challenges from an organizational behavior standpoint in regards to technology.

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd