Answer:
37.51 days
Explanation:
Use the following formula to calculate the Inventory Turnover ratio
Inventory Turnover ratio = Cost of goods sold / Average Inventory
Where
Cost of goods sold = $763,805
Average Inventory = ( Beginning Inventory + Ending Inventory ) / 2 = ( $93,000 + $64,000 ) / 2 = $78,500
Placing values in the formula
Inventory Turnover ratio = $763,805 / $78,500
Inventory Turnover ratio = 9.73
Inventory Days = Numbers of days in a year / Inventory Turnover ratio = 365 / 9.73 = 37.51 days
