Question of the Day 7/2

July 2, 2024 Finance Questions DropoutEdu

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Does inventory turnover increase or decrease?

Decrease

What is end of period inventory in FY4?

28

How how much does inventory turnover change by on a percentage basis? Round to the nearest tenth and use negative signs if needed.

-45.8%

What impact does inventory turnover falling have on valuation?

Decreases valuation

What impact does inventory turnover increasing have on valuation?

Increases valuation

What is the impact of inventory on net working capital in FY3?

7

What is the impact of inventory on free cash flow in FY3?

-7

Using an 8% discount rate, what is the overall effect on firm value from inventory? Round to the nearest tenth.

-20.7

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