Question

Compute Conagra's inventory turnover inventory at the beginning of the prior year was $1,642.6

A) Inventory Value
B) Cost of Goods Sold
C) Net Income
D) Gross Profit

Answer 1

The inventory turnover ratio cannot be calculated without the cost of goods sold.

The correct option is B.

Step-by-step explanation:

The inventory turnover ratio is a measure of how efficiently a company is managing its inventory. It is calculated by dividing the cost of goods sold by the average inventory.

In this case, we are given the inventory at the beginning of the prior year but not the cost of goods sold.

To compute Conagra's inventory turnover, we need to know the cost of goods sold for the period in question. Without that information, we cannot accurately calculate the inventory turnover ratio.

The correct option is B.