Reference no: EM131798329

Question - The following information pertains to Sampson Company. Assume that all balance sheet amounts represent both average and ending balance figures. Assume that all sales were on credit.

Assets

Cash and short-term investments $ 45,000

Accounts receivable (net) 25,000

Inventory 11,000

Property, plant and equipment 210,000

Total Assets $291,000

Liabilities and Stockholders' Equity

Current liabilities $ 50,000

Long-term liabilities 90,000

Stockholders' equity-common 151,000

Total Liabilities and Stockholders' Equity $291,000

Income Statement

Sales $ 120,000

Cost of goods sold 55,000

Gross profit 65,000

Operating expenses 30,000

Net income $ 35,000

Number of shares of common stock 6,000

Market price of common stock $20

Dividends per share .50

What is the inventory turnover for Sampson?