Goods available for sale are 330000 beginning inventory is 2

Goods available for sale are $330,000; beginning inventory is $20,000; ending inventory is $35,000; and cost of goods sold is $245,000. The inventory turnover is: (Round your final answer two decimal places, X.XX)

Solution

Inventory turnover = Cost of goods sold / Average inventory

Inventory turnover = $245,000 / [($20,000 + $35,000) / 2]

Inventory turnover = $245,000 / $27,500

Inventory turnover = $8.91