Early in 2012, Aragon Company switched to a just-in-time inventory system. Its sales and inventory amounts for 2011 and 2012 are shown below.
| 2011 Don't use plagiarized sources. Get Your Custom Essay on early in 2012 aragon company switched to a just in time inventory system its sales a 533813 For $10/Page 0nly | 2012 | |
| Sales revenue | $3,120,000 | $3,713,000 |
| Cost of goods sold | 1,200,000 | 1,425,000 |
| Beginning inventory | 170,000 | 210,000 |
| Ending inventory | 210,000 | 90,000 |
Determine the inventory turnover and days in inventory for 2011 and 2012. Discuss the changes in the amount of inventory, the inventory turnover and days in inventory, and the amount of sales across the two years.
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