At the start of the year, Sandy's Flowers had inventory worth $$ \$ 587,200 $$ at retail. On December 31 , the retail value of the inventory was $$ \$ 137,700 $$. If annual sales amounted to $$ \$ 2,899,600 $$ find the inventory turnover at retail for the year. (Round to nearest tenth) Select one: a. 8.0 b. 12.5 c. 4.9 d. 4.3

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Let the beginning inventory at retail be $$ I_{\text{begin}} = \$587,200 $$ and the ending inventory be $$ I_{\text{end}} = \$137,700 $$. The annual sales at retail is $$ S = \$2,899,600 $$.

The first step is to determine the average inventory at retail:

$$
I_{\text{avg}} = \frac{I_{\text{begin}} + I_{\text{end}}}{2} = \frac{\$587,200 + \$137,700}{2} = \frac{\$724,900}{2} = \$362,450
$$

Next, the inventory turnover at retail is given by:

$$
\text{Turnover} = \frac{\text{Sales}}{I_{\text{avg}}} = \frac{\$2,899,600}{\$362,450} \approx 8.0
$$

Rounded to the nearest tenth, the inventory turnover is $$ 8.0 $$, which corresponds to option a.
The inventory turnover at retail for the year is 8.0.

At the start of the year, Sandy’s Flowers had inventory worth at retail. On December 31 , the retail value of the inventory was . If annual
sales amounted to find the inventory turnover at retail for the year. (Round to nearest tenth)
Select one:
a. 8.0
b. 12.5
c. 4.9
d. 4.3

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At the start of the year, Sandy’s Flowers had inventory worth at retail. On December 31 , the retail value of the inventory was . If annual sales amounted to find the inventory turnover at retail for the year. (Round to nearest tenth) Select one: a. 8.0 b. 12.5 c. 4.9 d. 4.3