## (Solved) Name Section Date Ronald Wuestefeld Chapter 6 Comparative Analysis Problem 2 ACC/290 Comparative Analysis Problem: Amazon.com, Inc. vs Wal-Mart...

Purpose of AssignmentÂ

The purpose of this assignment is to evaluate the inventory section of two companies using basic comparative analysis, and to interpret the data to gain insight about the company's inventory management.

Assignment StepsÂ

Resources:Â Appendices D and E located inÂ Financial Accounting: Tools for Business Decision MakingÂ

WriteÂ a 1,050-word comparative analysis using the financial statements of Amazon.com, Inc. presented in Appendix D, and the financial statements for Wal-Mart Stores, Inc., presented in Appendix E, including the following:

• Compute these 2014 values for each company based on the information in the financial statements:Inventory turnover (Use cost of sales and inventories)
• Days of inventoryÂ Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â
• Conclusions concerning the management of the inventory can you draw from this data.Â

ShowÂ work on ExcelÂ®Â spreadsheet andÂ submitÂ with analysis.

ClickÂ the Assignment Files tab to submit your assignment.

Name
Section
Date Ronald Wuestefeld
Chapter 6 Comparative Analysis Problem 2
ACC/290 Comparative Analysis Problem: Amazon.com, Inc. vs Wal-Mart Stores, Inc.
24-Apr-17
Amazon.com, Inc. vs. Wal-Mart Stores, Inc. (a)
Amazon.com Wal-Mart Inventory turnover:
Cost sales
2013 inventory
2014 inventory
Average inventory
Inventory trunover 62,752
7,411
8,299
7,855
8 Cost sales
2013 inventory
2014 inventory
Average inventory
inventory turnover 358,069
43,803
44,858
44,331
8 365
8 inventory turnover
46 Days in Inventory 365
8
45 Days in inventory:
No of days
Inventory turnover
Days in Inventory (b) Based on the inventory from Amazon and Wal-Mart. When it comes to information system
That comes from Amazon days in inventory Vs Wal-Mart days in inventory. Wal-Mart inventory
does not sit long at company stores. So for management teams at Wal-Mart can use the
information to make changes on moving product faster or how much to order on certain
things. So there over all cost of sales are not so high. Amazon inventory information can
show that with lower inventory purchase. The company can change what products are order
to bring down their days in inventory to be over 46 days or they can order more product.
The management can also look on ways to move product faster, Maybe have more items on
sale and maybe doing inventory more that once a year. Companies like Amazon and Wal-Mart
can do little changes to improve companys performances and trends that come for customers. 377 377

Solution details:
STATUS
QUALITY
Approved

This question was answered on: Sep 05, 2019

Solution~000200233974.zip (25.37 KB)

This attachment is locked

We have a ready expert answer for this paper which you can use for in-depth understanding, research editing or paraphrasing. You can buy it or order for a fresh, original and plagiarism-free solution (Deadline assured. Flexible pricing. TurnItIn Report provided)

STATUS

QUALITY

Approved

Sep 05, 2019

EXPERT

Tutor