Cascade Inc. completed the following inventory transactions during the month of September:

copy_of_assignment_mod_09.xlsx

M9 Assignment 1

Module 9 Assignment 1:
Whitewater Co. lost its entire inventory in a flash flood that occurred on August 31, 20##.
Over the past 4 years gross profit has averaged 32% of net sales. The following records for August were recovered:
Beginning Inventory		$38,600
Net Purchases		$341,900
Sales		$530,400
Sales returns and allownaces		$12,300
Sales discounts		$6,500
Requirements:
1	Estimate the August 31 inventory using the gross profit method.
2	Prepare the August income statement through gross profit for Whitewater Co.
	Income Statement

Module 9 Assignment 2:
P.F. Johnson has the following information for the years ending December 31, 2009 and 2010.
		2010		2009
Sales Revenue			$242		$239
Cost of Goods Sold:
Beginning Inventory		$22		$38
Net Purchases		152		144
Goods Available for Sale		$174		$182
Ending Inventory		13		22
Cost of Goods Sold			161		160
Gross Profit			$81		$79
Operating Expenses			55		54
Net Income			$26		$25
Requirements:
1	Compute the inventory turnover rate for P.F. Johnson for 2009 and 2010. Round to two decimal places.
	2010
	Inventory turnover =					=
	2009
	Inventory turnover =					=
2	What is the likely cause of the change in turnover rate from 2009 to 2010?