The financial data for Ken’s Fresh Fruits Incorporated and Al’s Supermarket Corporation for the…

The financial data for Ken’s Fresh Fruits Incorporated and Al’s Supermarket Corporation for the current year are as follows: Required: a. Calculate the inventory turnover for each company. b. Calculate the average number of days the inventory is held by each company. c. Knowing the type of inventory these companies sell, comment on the reasonableness of the inventory turnover. Which company manages its inventory more efficiently? d. Which company would be a more profitable investment? Can we tell? Explain. e. What are the potential problems with fast inventory turnovers? Would these be a concern for Ken’s Fresh Fruits? View Solution:
The financial data for Ken s Fresh Fruits Incorporated and Al s