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Question: For the coming year, Rian Company wants


For the coming year, Rian Company wants to reduce its average production cycle to thirty days. If the target-ending inventory for 2015 is $61,000, what cost of goods sold will the company need to reach its goal?

2014 Selected Income Statement Items for Rian Company
Cash Sales ………... $298,000
Credit Sales ……… $672,000
Total Sales ………... $970,000
Cost of goods sold … $570,000

2013 & 2014 Selected Balance Sheet Accounts of Rian Company


For the coming year, Rian Company wants to reduce its average production cycle to thirty days. If the target-ending inventory for 2015 is $61,000, what cost of goods sold will the company need to reach its goal?

2014 Selected Income Statement Items for Rian Company
Cash Sales ………... $298,000
Credit Sales ……… $672,000
Total Sales ………... $970,000
Cost of goods sold … $570,000

2013 & 2014 Selected Balance Sheet Accounts of Rian Company



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