lopez industries is the biggest snowmobile manufacturer in the world. it reported the following amounts in its financial statements (in millions): 2017 2018 net sales revenue $ 3,500 $ 2,960 cost of goods sold 2,580 2,200 average inventory 350 300 required: 1-a. calculate the inventory turnover ratio for 2018 and 2017. 1-b. calculate the average days to sell inventory for 2018 and 2017. 2. did inventory turnover at lopez improve or decline in 2018? 3. calculate the 2018 gross profit percentage. 4. the main competitor for lopez is arctic cat. prior to being acquired by textron, incorporated, arctic cat reported its inventory turnover was 3.2 and its gross profit percentage was 3.8 percent. why was arctic cat more likely than lopez to require a write-down for lcm/nrv?
Answers
1-a. The inventory turnover ratio was 7.37 in 2017 and 7.33 in 2018. 1-b. The average days to sell inventory was 49.6 days in 2017 and 49.9 days in 2018. 2, Inventory turnover declined in 2018. 3, The gross profit percentage for Lopez in 2018 was 25.68%. 4, Arctic Cat had higher inventory turnover and lower gross profit percentage.
1-a. To calculate the inventory turnover ratio, divide the cost of goods sold by the average inventory.
Inventory Turnover Ratio = Cost of Goods Sold / Average Inventory
For 2017:
Inventory Turnover Ratio = $2,580 million / $350 million = 7.37
For 2018:
Inventory Turnover Ratio = $2,200 million / $300 million = 7.33
1-b. To calculate the average days to sell inventory, divide 365 days by the inventory turnover ratio.
Average Days to Sell Inventory = 365 days / Inventory Turnover Ratio
For 2017:
Average Days to Sell Inventory = 365 days / 7.37 = 49.6 days
For 2018:
Average Days to Sell Inventory = 365 days / 7.33 = 49.9 days
The inventory turnover at Lopez declined in 2018 compared to 2017, as both the inventory turnover ratio and the average days to sell inventory increased slightly.
The gross profit percentage can be calculated by subtracting the cost of goods sold from net sales revenue and dividing the result by net sales revenue, then multiplying by 100.
Gross Profit Percentage = (Net Sales Revenue - Cost of Goods Sold) / Net Sales Revenue * 100
For 2018:
Gross Profit Percentage = ($2,960 million - $2,200 million) / $2,960 million * 100 = 25.68%
Arctic Cat had a higher inventory turnover ratio and a lower gross profit percentage compared to Lopez. This suggests that Arctic Cat had faster inventory turnover and a lower margin on its products.
A higher likelihood of requiring a write-down for lower of cost or market (LCM) or net realizable value (NRV) indicates that Arctic Cat had inventory that was more likely to become obsolete or have a decline in value.
To know more about inventory:
https://brainly.com/question/31146932
#SPJ4
Related Questions
An Angel Investor with specific industry knowledge and connections is known as? a) Leveraged Investor b) Leveraged partner c) Smart money d) Connected expert
Answers
An Angel Investor with specific industry knowledge and connections is known as option c, "smart money." "Smart money" investor brings not only financial support but also valuable expertise and connections within a particular industry, which can be crucial for the success of a startup.
The angel investors are the ones who are also called informal investors, angel funders or private investor. These investors are rich and wealthy and give capital or money for startups in exchange for ownership equity or convertible debt.
To learn more about angel investors: https://brainly.com/question/7298829
#SPJ11
telcom owns a phone network and provides phone network services to many consumers
Answers
Which of the following best exemplifies structural unemployment?
A college graduate is looking for her first job.
An unemployed electrician does odd jobs for cash on the weekends.
A surveyor was laid off when his company relocated to the Midwest.
A real estate agent is looking for a new brokerage that pays better commissions.
A high school student who worked part-time at Chick-Fil-A® was laid off when sales fell.
Answers
Answer: A surveyor was laid off when his company relocated to the Midwest is an example of structural unemployment .
Explanation: Structural unemployment occurs due to job relocation, skill mismatches, rapidly growing population, slow rate of capital formation, demand for labor fall short.
And also due to the fundamental changes in the structure of the economy.
To know more about structural unemployment
https://brainly.com/question/15018508
https://brainly.com/question/29816117
What are healthcare cost estimates for a retired couple starting in 2030 and 2040?
pls help this is really important i don't want to fail
Answers
The healthcare cost that estimates for a retired couple starting in 2030 and 2040 is the $16·04 trillion and $24·24 trillion.
What is healthcare cost?Healthcare cost is defined as the actual expenditures of providing health-care services, such as procedures, drugs, and therapies.
According to the past trends and relationships, in 2030, the healthcare cost are $16·04 trillion and, in 2040, $24·24 trillion (20·47–29·72) will be spent on health.
In terms of per capita growth, this rises from $1279 in 2014 to $2872 (UI 2426–3522) in 2040, with an annualised rate of 30% (24%–38%).
Therefore, according to the estimations, the healthcare cost for 2030 is $16·04 trillion.
Learn more about the healthcare cost, refer to:
https://brainly.com/question/20714332
#SPJ1
Why is it hard to predict positive Moments of Reality (MORs)? A. Because they are negatively influenced by lifetime customer value. B. Because they differ by customer, and by time of year. C. Because most companies use moments of truth, which are in conflict with Moments of Reality. D.Because it is difficult to tell if a Moment of Reality is negative or positive.
Answers
Answer:
B. Because they differ by customer, and by time of year.
Explanation:
Moments of reality are hard to predict as it varies from customer to customer. All customers have different values and they rate a product or service according to their own values. Moments of reality can be positive or negative and they are influenced by customer experience.
What is an example of a general safety hazard?
poorly maintained equipment
contaminated water
blizzard
employee retaliation
Answers
Answer:
poorly maintained equipment
Answer:
contaminated water
Explanation:
if the water doesnt get boiled it will make you sick, contaminated water can make you sick easily so its a safety hazard
An investment company where workers follow a strict schedule is an example of a(n) _____. a. informal workplace b. unstructured workplace c. casual workplace d. formal workplace
Answers
Answer:
d. formal workplace
Explanation:
A formal workplace has a structured way of doing things. Both the management and employees dress in the prescribed attire. There is a lot of emphasis on rules and procedures in the work processes. Information and work instruction follow established communication channels within the business. Hierarchy and protocols are observed when making official reports.
Answer:
D)
Explanation:
Should a business email contain a salutation?
Answers
Answer:
A business email is meant in a professional way. It can be sought out as multiple different approaches, one of them, in this case, can include a friendly and welcoming business approach, including a salutation. All in all, it is up to the writer, there is no fully correct answer. Hope this helps :)
A fish Connor survive without water and a profession cannot exist without education. Explain
Answers
Explanation:
This is trying to tell us about the importance of "basics" in every aspect of life.
The main basics or ingredient for the survival of a fish is water.
That is it's home,it's habitat,it's cradle of life and so juxtaposing it with a profession,we find out that the basics of any and every profession is Education.
Education on that particular profession.The knowledge of a profession is gotten only through the basics, which is Education,while expertise on that profession is gotten through Education and experience garnered overtime.
In which of the following situations should you use
a database? Choose all that apply.
when you have one data table
when you have several interrelated data
tables
when you have thousands of records
when you need to make complex calculations
when you need to have many users
simultaneously access the data
Answers
Among the given situations, when we should use a database are:
B. when you have several interrelated data tablesC. when you have thousands of recordsD. when you need to make complex calculationsF. simultaneously access the data.What is the meaning of database?In computer science, a database refers to an organized collection of structured information or data that are typically stored electronically in a computer system. It is usually controlled by a database management system.
All together, the data's, database management system with the applications that are associated with them are referred to as a database system which is often shortened to just database.
Read more about database
brainly.com/question/518894
#SPJ1
Answer: B C E
Explanation: Edge 2023
Question 2 of 20
Noah describes the investment he made as a cross between a stock and a
bond. It offers a high rate of return but is more stable than typical stocks.
This kind of investment is called a
O A. dividend stock
B. government bond
C. preferred stock
D. prospectus
Answers
Noah describes the investment he made as a cross between a stock and a bond. It offers a high rate of return but is more stable than typical stocks. This kind of investment is called a preferred stock. The correct option is c.
Preferred stocks are sometimes called hybrid securities. Preferred stocks are equity securities that share many characteristics with debt instruments. Preferred stock is attractive as it offers higher fixed-income payments than bonds with a lower investment per share. Preferred stock often has a callable feature that allows the issuing corporation to forcibly cancel the outstanding shares for cash.
Corporations that receive dividends on preferred stock can deduct 50% to 65% of the income from their corporate taxes.
Learn more about stocks, here:
https://brainly.com/question/14258061
#SPJ1
Explain your approach in energy audits in third world countries. In your explanation give give evidence how other countries and companies have implemented the need for energy audits as a business. Also SWOT analysis of implementing energy audits in countries
Answers
The strategy is to increase awareness, set policies, develop capacity, carry out pilot projects, give financial support, and track results. Examples include mandated energy audit programmes in the UK and Germany.
Global energy audit services are provided by businesses like Siemens and Schneider Electric. SWOT evaluation Cost savings and sustainability are its strengths. Lack of knowledge and resources are its weaknesses. Opportunities to bring in investments and achieve goals; Resistance and political instability are threats. Energy audits have the potential to increase energy efficiency and sustainability, but overcoming obstacles calls for all-encompassing policies and cooperation between national and international agencies.
learn more about financial here:
https://brainly.com/question/32292990
#SPJ11
Scott and Laura are married and file a joint tax return. Laura owns a sole proprietorship (not a "specified services" business) that incurs qualified business income of $300,000. The proprietorship pays W–2 wages of $40,000 and holds property with an unadjusted basis of $10,000. Scott is employed by a local school district. Their taxable income before the QBI deduction is $381,400 (this is also their modified taxable income What is their tentative QBI based on the W-2 Wages/Capital Investment Limit? 20,000 Determine their allowable QBI deduction. 75,000 X
Answers
Solution :
QBI 300000 W-2 wages 40000
Taxable 3814000 QBP 10000
income
W-2 limit
Phase greater of
out MFJ
Start 315000 50% of W-2 20000
Finish 415000 or 25% of W-2 10250
+ 2.5% of QBP
Selected 20000 Being higher As part 1
Taxable income above phase out
\($\frac{381,400-315000}{100000}$\) 66%
Now applying gross deduction and phase out
Gross deduction Being 20% of QBI = 66000
Less : wage limit of QBI - 20000
Phase out % x 66%
Phase out amount 30,360
Final deduction = gross deduction- phase out amount
= 66,000 - 30,360
= 35,640
Rom, Sandy and Abe agree to put in $10,000 each to set up a homeless shelter. They each work two days a week. Donations fund the day-to-day operations. Do they have a partnership? a. Yes, because they are all co-equals in ownership of the shelter b. Yes, since each has control of the operation No, because they have made no formal agreement d. No, because there is no business for profit
Answers
Rom, Sandy and Abe agree to put in $10,000 each to set up a homeless shelter. They each work two days a week. Donations fund the day-to-day operations. Yes, because they are all co-equals in ownership of the shelter. Option A is the correct answer.
By putting in the same value of cash and working the same amount of time. Rom, Sandy, and Abe have joined forces to establish the homeless shelter. The refuge is jointly owned by them all, and their contributions to its success are equally weighted. The fact that donations are used to support day-to-day activities does not affect the idea that they are part of a ownership. Option A is the correct answer.
Although no official agreement has been reached, the fact that they all contribute financially and actively participate in the operation of the shelter suggests that they have created a partnership. It should be noted that a ownership can exist even in the absence of a formal agreement or a business motivation. Option A is the correct answer.
Learn more about Ownership here:
https://brainly.com/question/31171413
#SPJ4
Q3: PZA's bonds have five years remaining to maturity. The bonds have a $1000 face value, the coupon rate is 18% paid monthly. Suppose you purchased the bond for $920. (a) (15 pts) Three years after the date of purchase, the market interest rate on comparable bonds decreases to 12%. At what price will the bonds sell after these three years?
Answers
The new price of the bond. Using the financial calculator, or excel, we can calculate that the new price of the bond is $1,117.49. Hence, the bond will sell for $1,117.49 after three years.
Principal or face value of the bond (FV) = $1000.Coupon rate (CR) = 18% paid monthly. Present value of bond (PV) = $920.Time to maturity = 5 years. Three years after the date of purchase, the market interest rate on comparable bonds decreases to 12%.
To calculate the price at which the bond will sell three years after purchase, the following steps should be followed: Firstly, calculate the total number of payments that will be made over the remaining 2 years. Since the coupon rate is paid monthly, the number of payments per year is 12.
Hence, the total number of payments will be 12 × 2 = 24. The remaining time to maturity is 5 – 3 = 2 years, which is equal to 24 months.Secondly, calculate the periodic coupon payment. Since the coupon rate is 18%, and the face value is $1000, the annual coupon payment will be (18/100) × $1000 = $180.
The periodic coupon payment will be $180/12 = $15.
Thirdly, calculate the new yield to maturity (YTM) at the end of three years. Since the market interest rate on comparable bonds has decreased to 12%, this will be the new yield to maturity. Using the financial calculator, or excel, we can calculate that the new yield to maturity is 13.611%.
Finally, calculate the new price of the bond. Using the financial calculator, or excel, we can calculate that the new price of the bond is $1,117.49. Hence, the bond will sell for $1,117.49 after three years.
To know more about Bond visit :
https://brainly.com/question/31994049
#SPJ11
But how do leaders get employees to do their work?
Answers
Answer:
By being polite or paying them
ASAPP PLZZZZ
3. In the mythical kingdom of Erehwon, the basic unit of money is the rudolf. At today's exchange rate, 4 rudolfs are equal to $1. A U.S. tourist in Erehwon wishes to purchase a guidebook to the country. The price is 6 rudolfs. How much is this in U.S. money?
(A) $1.50
(B) $6
(C) $4
(D) $24
Answers
income tax is an example of
Answers
Income tax is a typical example of a direct tax.
What is a direct tax?Income tax is imposed directly on the income of the individual or company. It takes into consideration the individual's or company's circumstances or level of income. As a direct tax, income tax can be based on any of these taxation systems: progressive, proportional, or regressive.
Thus, income tax is an example of a direct tax.
Learn more about income taxes at https://brainly.com/question/25783927
to record an estimate for future bad debts at the end of the period, an adjustment would be made with a credit to
Answers
The adjustment will include a credit to Allowance to doubtful debt.
Bad debt are used to describe any outstanding balances owed by individual or firms, which are deemed no longer recoverable and thus, must be written off on account.
Bad debt are also referred to as Contra-assets because it reduces the value of company's asset.
When recording an estimate of bad debt, typically, the Bad Debt Expense will be increased by Debit while the Allowance for Doubtful Accounts will increased by Credit.
Learn more about this here
brainly.com/question/14068904
the nsa is responsible for signal intelligence and information system security.
Answers
The National Security Agency (NSA) is tasked with two primary responsibilities: signal intelligence (SIGINT) and information system security.
The National Security Agency (NSA) is a U.S. government agency that operates under the Department of Defense. Its first responsibility, signal intelligence, involves collecting, analyzing, and interpreting foreign signals and communications to gather intelligence information. The agency is equipped with advanced technologies and capabilities to intercept and decipher various forms of communication, including electronic signals, radio transmissions, and telecommunications.
The second responsibility of the NSA is information system security, which focuses on protecting classified and sensitive information systems of the U.S. government. This includes safeguarding networks, communications, and databases from unauthorized access, espionage, and cyber threats. The NSA works closely with other government agencies and private sector organizations to develop and implement robust security measures to ensure the integrity, confidentiality, and availability of information systems critical to national security.
Through its expertise in signal intelligence and information system security, the NSA plays a vital role in gathering intelligence, protecting sensitive information, and countering potential threats to national security. Its efforts are aimed at maintaining the security and integrity of communications and information systems to support the defense and intelligence needs of the United States.
Learn more about National Security Agency (NSA) here
https://brainly.com/question/14363111
#SPJ11
Why might people choose to rent a home rather than buy a home?
a. They have a lot of money saved for a down payment. b. The property maintenance is the owner's responsibility. c. The interest rates on equity are too high. d. They have a long-term commitment to the area.
Answers
Answer: A
Explanation: People usually chose to buy houses instead of renting house because of saving reasons
Answer:
b. The property maintenance is the owner's responsibility.
Explanation:
its actually this one. i took an L for the gang. youre welcome
Marietta opts into a Target app. When she enters a Target store, small Bluetooth devices scattered throughout the store send signals to her phone with personalized deals and information. This is an example of ______ technology.
a. tag.
b. RFID.
c. alien.
d. beacon.
Answers
Assuming small Bluetooth devices scattered throughout the store send signals to her phone. This is an example of d. beacon technology.
What is beacon technology?Beacon technology can be defined as a tiny or small wireless transmitter technology that help to send signals to devices.
One of the example of beacon is blutooth devices. Despite small in size they help to send signal to phone or user device and they as well makes use of low energy.
Inconclusion this is an example of d. beacon technology.
Learn more about beacon technology here:https://brainly.com/question/26516180
Why is it important for public corporations to comply with audits
Answers
Answer:
Explanation:
Accounting and auditing professionals serve an absolutely vital role in our capital markets. Transparent, informative and accurate financial reporting are the lifeblood of the capital markets and are essential for investors to make informed decisions as to how to allocate their capital.
What is average fixed cost , average variable cost ,average cost and marginal cost??
Answers
Answer:
Since the fixed cost does not change with the output, the average fixed cost decreases as the output increases. The average variable cost does not always increase in proportion to an increase in the output. Marginal costs also come down until 44 units are produced after which they start rising.
Explanation:
\(kai6418\)
#carryonleraning
To buy a product, customers in a market must first
Answers
To buy a product, customers must first have the need for the product.
Customers cannot just simply buy anything or everything when it comes to products. People love shopping but money is a very useful and powerful resource and customers understand it well, so they don't want to spend it on useless things.
Firstly, there should be a need or a desire to buy a particular product. After that the customer decides his or her budget or the money he would like to spend on that product. If it crosses his or her budget, then the customer may not able to buy the product.
Lastly, there should be willingness to buy the product. Nowadays, we get impressed by big brands, malls and stores giving us immense discounts for even our daily needs. That is how knowingly or unknowingly, we tend to shop more.
To know more about Customers here
https://brainly.com/question/14530604
#SPJ1
Widgets, Inc. makes a $300 on Widhets, Inc. makes a $300 account sale to Custom Motors. How is the sale recorded in the Accounts Receivable subsidiary ledger?
A. It is recorded upon payment
B. as $300 payment
C. as $300 credit
D. as $300 debit
Answers
What business practice is most helped by free trade practices?
A. Increasing import revenues
B. Standardization
C. Competition
D. Preserving economic resources
SUB
Answers
Free trade practices and competition are most beneficial to company practices.
An illustration of free commerce?In a free trade area (FTA), goods from one country can enter another without being subject to import duties or quotas. Free trade areas include, for instance: Norway, Iceland, Switzerland, and Liechtenstein make up the EFTA (European Free Trade Association). NAFTA: North American Free Trade Agreement (being renegotiated).
What does free trade mean?A government policy known as free trade, often known as laissez-faire, forbids discrimination against imports and interferes with exporters by imposing duties on imports and providing exports with subsidies.
To Know more about subsidies
https://brainly.com/question/17136613
#SPJ9
Can an offer can be assigned?
Answers
Answer:
yes
Explanation:
choose a real or made up example of a company, and describe at least three fixed costs the company has
Answers
Answer:
Explanation:
The fixed cost remains the fixed it never be changed.
Fixed cost;
It is the cost that should be the same whether the production level increased or not.
If we take an example of dominos, so here the fixed cost could be in form of rent, ovens, refrigerators.
It is the part of the organization expense.
when the united states gives foreign aid to developing nations in africa, which of the following balance of payments account is affected? a central bank b financial account c foreign exchange account d account current account e reserve account
Answers
When the United States gives foreign aid to developing nations in Africa, the balance of payments account that is affected is the current account.
The current account tracks the flow of goods and services, as well as income and transfers, between countries. Foreign aid is considered a transfer payment and is recorded as a debit on the current account. This means that the United States is spending money that will not be repaid or generate any income in return. Other balance of payments accounts include the capital account, which tracks investment flows, the financial account, which tracks financial assets and liabilities, the foreign exchange account, which tracks currency exchange rates, and the reserve account, which tracks central bank reserves. However, foreign aid is not typically recorded in these accounts.
To learn more about payments, visit:
https://brainly.com/question/4170645
#SPJ11