What inventory accounting methods are used by the companies

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Reference no: EM133378562

Compare two companies. Some great companies to compare to each other in the same industry include:

Nike to UnderArmour

Walmart to Target

Apple to Google or another large tech company

GM to Ford

AT&T to Verizon

 

  1. Give an overview of the companies selected and describe the types of products that are sold by the company ? Walmart to Target or Starbucks to Dunkin donuts
  2. What inventory accounting methods are used by the companies? (hint: review the notes to the financial statements within the 10K filing)
  3. For your selected companies - select one of the two following items to discuss:
    • Compute the gross margin and gross margin ratio for the years you found in the latest annual report and show the bases of your calculation as part of your initial response. Comment on your results. (For example: what are the trends both in total gross margin and in the gross margin ratio? Decreasing, increasing, or both? Why in your opinion-you can research additional information on this topic in the 10K to answer what are the latest trends)
    • Compute its inventory turnover and days' sales in inventory for the years you found in the latest annual report. Comment on your results. (For example: what are the trends of both inventory turnover and the days' sales in inventory? Decreasing, increasing, or both? Why in your opinion-you can research additional information on this topic in the 10K to answer the latest trends).

Reference no: EM133378562

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