Appalachian State University - SCM 3660 1)Baker Mfg Inc

Appalachian State University - SCM 3660

1)Baker Mfg Inc. wishes to compare its inventory turnover to those of industry leaders, who have turnover of about 13 times per year and 88% of their assets invested in inventory.

              Baker Mfg. Inc.               Net Revenue                 $27,500

Cost of sales                  $19,356

Inventory                         $1,237

Total assets                   $16,435

1. What is Baker's inventory turnover?

2. What is Baker's percentage of assets committed to inventory?

C)How does Baker's performance compare to the industry leaders?

2. Mattress Wholesalers, Inc. is constantly trying to reduce inventory in its supply chain. Last year, cost of goods sold was $7.54 million and inventory was $1.49 million. This year, costs of goods sold is

$8.63 million and inventory investment is $1.59 million.

1. What is its weeks of supply this year?

2. Is Mattress Wholesalers making progress in its inventory reduction effort?

Since the number of weeks that cover the supply has

3. The grocery industry has an annual inventory turnover of about 16 times. Organic Grocers, Inc., had a cost of goods sold last year of $11,440,000; its average inventory was $991,670.

What was Organic Grocers' inventory turnover, and how does that performance compare with that of the industry?

1. What was Organic Grocers' inventory turnover?