Required information
In October, Nicole eliminated all existing inventory of cosmetic items. The trouble of ordering and tracking each product line had exceeded the profits earned. In December, a supplier asked her to sell a prepackaged spa kit. Feeling she could manage a single product line, Nicole agreed. Nicole's Getaway Spa NGS would make monthly purchases from the supplier at a cost that included production costs and a transportation charge. NGS would keep track of its new inventory using a perpetual inventory system.
On December of last year, NGS had units at a total cost of $ per unit. Nicole purchased more units at $ in February. In March, Nicole purchased units at $ per unit. In May, units were purchased at $ per unit. In June, NGS sold units at a selling price of $ per unit and units at $ per unit.
Calculate the inventory turnover ratio, using the inventory purchased on December as the beginning inventory. Round your answers to decimal places.
tableInventory Turnover Ratio,NumeratorCost of Goods Sold,DenominatorAverage Inventory,
