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Business, 29.03.2020 13:54 ianmartin6080
(Apparel Retailing) A large catalog retailer of fashion apparel reported $100,000,000 in revenues over the last year. On average, over the same year, the company had $5,000,000 worth of inventory in their warehouses. Assume that units in inventory are valued based on cost of goods sold (COGS) and that the retailer has a 100 percent markup on all products. a. How many times each year does the retailer turn its inventory? b. The company uses a 40 percent per year cost of inventory. That is, for the hypothetical case that one item of $100 COGS would sit exactly one year in inventory, the company charges itself a $40 inventory cost. What is the inventory cost for a $30 (COGS) item? You may assume that inventory turns are independent of the price.
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(Apparel Retailing) A large catalog retailer of fashion apparel reported $100,000,000 in revenues ov...
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