Walgreens Year +1 Projection using MS Excel and Computing Implied Ending Inventory Balance

Walgreens is leading chain of drugstores in the united states. Use the following data for walgreens in years 7 and 8 to project revenues, cost of goods sold and inventory for year +1. Assume that walgreens year +1 revenue growth rate, gross profit margin and inventory turnover will be identical to year 8. Project the average inventory balance in year +1 and use it to compute the implied ending inventory balance.

Sales revenue year 7 =53762 year 8=59034

Cost of good sold year 7= 38518 year 8=42391

ending inventory year 7=6791 year 8=7249