Use this information for the following three questions. KW Steel Corp. uses the LIFO method of...

Use this information for the following three questions.

KW Steel Corp. uses the LIFO method of inventory valuation. Waretown Steel, KW’s major competitor, instead uses the FIFO method. The following are excerpts from each company’s 2014 and 2013 financial statements:

	KW Steel Corp.		Waretown Steel
($ in millions)	2014	2013	2014	2013
Balance sheet inventories	797.6	692.7	708.2	688.6
LIFO reserve	378.0	334.9

Sales	4,284.8	4,029.7	3,584.2	3,355.8
Cost of goods sold	3,427.8	3,226.5	2,724.0	2,617.5

Use this information for the following three questions.

KW Steel Corp. uses the LIFO method of inventory valuation. Waretown Steel, KW’s major competitor, instead uses the FIFO method. The following are excerpts from each company’s 2014 and 2013 financial statements:

	KW Steel Corp.		Waretown Steel
($ in millions)	2014	2013	2014	2013
Balance sheet inventories	797.6	692.7	708.2	688.6
LIFO reserve	378.0	334.9

Sales	4,284.8	4,029.7	3,584.2	3,355.8
Cost of goods sold	3,427.8	3,226.5	2,724.0	2,617.5

Calculate inventory turnover for KW Steel in 2014.

Calculate inventory turnover for Waretown Steel in 2014.

Re-calculate KW Steel's inventory turnover in 2014 if they used FIFO.

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