Compute its expected cost savings


Heartland Company's budgeted sales and budgeted cost of goods sold for the coming year are $147,600,000 and $31,707,000 respectively. Short-term interest rates are expected to average 10%. If Heartland can increase inventory turnover from its present level of 9 times a year to a level of 12 times per year, compute its expected cost savings for the coming year.

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Accounting Basics: Compute its expected cost savings
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