The following information is available for the Starr Corporation Sales Cost of goods sold Gross

Question

The following information is available for the Starr Corporation:

Sales	$750,000
Cost of goods sold	450,000
Gross profit	300,000
Operating income	85,000
Net income	42,000
Inventory, beginning-year	71,200
Inventory, end-of-year	48,800

Calculate the company's inventory turnover and its days' sales in inventory.

Answer

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