Compute average inventory days outstanding for both years

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Note 3 to the 2013 financial statements of Willamette Valley Vineyards reports that Inventories consist of the following:

                                                                       2013                 2012
Winemaking and packaging materials     $ 732,909          $ 454,612
Work-in-process                                 4,099,224       3,891,754
Finished goods                                  5,001,179         4,880,518
Total inventories                                $ 9,833,312       $ 9,226,884

Problem 1:
The company reported cost of goods sold of $5,588,439 in 2013 and $5,253,336 in 2012. Compute average inventory days outstanding for both years. What does this ratio mean?

Reference no: EM132970299

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