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Men Warehouse

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Subject
Excel
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Purdue Global
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Homework
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To what extent are you impressed or concerned with the trends for Inventory Turnover for
the past three years? Also comment on the results given the Inventory Turnover industry
norm is 3.
The Inventory Turnover trend for the selected time period is impressive because there is
an increase in the inventory turnover of the company. The higher inventory turnover would
indicate a better position of the company as the high inventory turnover usually means the
organization is selling products very quickly and there is more demand of their products within
the marketplace. In the year 2008, the inventory turnover of the company was 2.157 that
increased to 2.343 in the year 2009 and that further increased to 2.377 in the year 2010. The
inventory turnover of the industry is 3 and the organization is performing well and will have
inventory turnover of 3 within a year.
Explain an effective plan to continue with positive trends or- address any concerns given
a negative trend. Explain the concept of Economic Order Quantity as it would apply here.
The company should implement new strategies in order to make sure that the company's
profit is increasing. The organization can focus on differentiation strategy in order to
differentiate itself from the competitors and this in turn will be beneficial for the company. The
Economic Order Quantity is the number of units that the organization needs to add to inventory
with each order for minimizing the inventory’s total costs, such as, shortage costs, holding costs,
and order costs. Men’s Wearhouse, Inc. has instantaneous replenishment so there are no
inventory shortages or associated costs.
Comment on Men’s Wearhouse, Inc.’s Debt to Assets ratio – the indicator of leverage -
trends for the last three years.

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To what extent are you impressed or concerned with the trends for Inventory Turnover for the past three years? Also comment on the results given the Inventory Turnover industry norm is 3. The Inventory Turnover trend for the selected time period is impressive because there is an increase in the inventory turnover of the company. The higher inventory turnover would indicate a better position of the company as the high inventory turnover usually means the organization is selling products very quickly and there is more demand of their products within the marketplace. In the year 2008, the invento ...
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