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Compute its expected cost savings for the coming year

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Question - Pronghorn Company's budgeted sales and budgeted cost of goods sold for the coming year are $151,620,000 and $88,740,000, respectively. Short-term interest rates are expected to average 10%. If Pronghorn can increase inventory turnover from its present level of 9 times a year to a level of 10 times per year. Compute its expected cost savings for the coming year.

Reference no: EM133009175

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