1 Note 3 to the 2016 financial statements of Willamette Valley…

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Question Answered step-by-step 1 Note 3 to the 2016 financial statements of Willamette Valley… 1 Note 3 to the 2016 financial statements of Willamette Valley Vineyards reports that Inventories consist of the following:  20162015Winemaking and packaging materials$   817,836$   690,292 Work-in-process 6,634,0146,058,701Finished goods 4,518,8063,883,469Total inventories$11,970,656$10,632,462 The company reported cost of goods sold of $7,204,884 in 2016 and $7,092,111 in 2015. At December 31, 2014, Total inventories were $ 9,910,570.  Compute average days inventory outstanding for both years.   What does this ratio mean?  Interpret the ratios. 2 Abercrombie & Fitch has inventory levels of $399,795 thousand and $436,701 thousand at the end of fiscal-year ending 2016 and 2015 respectively.  Cost of goods sold for 2016 is $1,298,172 thousand.  a.  Calculate the inventory turnover ratio and the average days inventory outstanding for 2016. b.  Suggest three ways that Abercrombie & Fitch might improve inventory turnover.    Accounting Business Financial Accounting ACC 750 Share QuestionEmailCopy link Comments (0)

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