NIKE INC 10-K form for the fiscal year ended 2018-05-31, page 44: 
|    |                                              |
|---:|:---------------------------------------------|
|  2 | NIKE, Inc. Consolidated Statements of Income |


|    |                                          |                    |        |      |        |      |        |        |    |    |        |
|---:|:-----------------------------------------|:-------------------|:-------|:-----|:-------|:-----|:-------|:-------|:---|:---|:-------|
|  2 |                                          | Year Ended May 31, |        |      |        |      |        |        |    |    |        |
|  3 | (In millions, except per share data)     | 2018               |        | 2017 |        | 2016 |        |        |    |    |        |
|  4 | Revenues                                 | $                  | 36,397 |      |        | $    | 34,350 |        |    | $  | 32,376 |
|  5 | Cost of sales                            | 20,441             |        |      | 19,038 |      |        | 17,405 |    |    |        |
|  6 | Gross profit                             | 15,956             |        |      | 15,312 |      |        | 14,971 |    |    |        |
|  7 | Demand creation expense                  | 3,577              |        |      | 3,341  |      |        | 3,278  |    |    |        |
|  8 | Operating overhead expense               | 7,934              |        |      | 7,222  |      |        | 7,191  |    |    |        |
|  9 | Total selling and administrative expense | 11,511             |        |      | 10,563 |      |        | 10,469 |    |    |        |
| 10 | Interest expense (income), net           | 54                 |        |      | 59     |      |        | 19     |    |    |        |
| 11 | Other expense (income), net              | 66                 |        |      | (196   | )    |        | (140   | )  |    |        |
| 12 | Income before income taxes               | 4,325              |        |      | 4,886  |      |        | 4,623  |    |    |        |
| 13 | Income tax expense                       | 2,392              |        |      | 646    |      |        | 863    |    |    |        |
| 14 | NET INCOME                               | $                  | 1,933  |      |        | $    | 4,240  |        |    | $  | 3,760  |
| 16 | Earnings per common share:               |                    |        |      |        |      |        |        |    |    |        |
| 17 | Basic                                    | $                  | 1.19   |      |        | $    | 2.56   |        |    | $  | 2.21   |
| 18 | Diluted                                  | $                  | 1.17   |      |        | $    | 2.51   |        |    | $  | 2.16   |
| 20 | Dividends declared per common share      | $                  | 0.78   |      |        | $    | 0.70   |        |    | $  | 0.62   |

The accompanying Notes to the Consolidated Financial Statements are an integral part of this statement.

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, NIKE INC 10-K form for the fiscal year ended 2018-05-31, page 46: 
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|---:|:---------------------------------------|
|  2 | NIKE, Inc. Consolidated Balance Sheets |

|    |                                                      |         |        |      |        |    |        |
|---:|:-----------------------------------------------------|:--------|:-------|:-----|:-------|:---|:-------|
|  2 |                                                      | May 31, |        |      |        |    |        |
|  3 | (In millions)                                        | 2018    |        | 2017 |        |    |        |
|  4 | ASSETS                                               |         |        |      |        |    |        |
|  5 | Current assets:                                      |         |        |      |        |    |        |
|  6 | Cash and equivalents                                 | $       | 4,249  |      |        | $  | 3,808  |
|  7 | Short-term investments                               | 996     |        |      | 2,371  |    |        |
|  8 | Accounts receivable, net                             | 3,498   |        |      | 3,677  |    |        |
|  9 | Inventories                                          | 5,261   |        |      | 5,055  |    |        |
| 10 | Prepaid expenses and other current assets            | 1,130   |        |      | 1,150  |    |        |
| 11 | Total current assets                                 | 15,134  |        |      | 16,061 |    |        |
| 12 | Property, plant and equipment, net                   | 4,454   |        |      | 3,989  |    |        |
| 13 | Identifiable intangible assets, net                  | 285     |        |      | 283    |    |        |
| 14 | Goodwill                                             | 154     |        |      | 139    |    |        |
| 15 | Deferred income taxes and other assets               | 2,509   |        |      | 2,787  |    |        |
| 16 | TOTAL ASSETS                                         | $       | 22,536 |      |        | $  | 23,259 |
| 17 | LIABILITIES AND SHAREHOLDERS' EQUITY                 |         |        |      |        |    |        |
| 18 | Current liabilities:                                 |         |        |      |        |    |        |
| 19 | Current portion of long-term debt                    | $       | 6      |      |        | $  | 6      |
| 20 | Notes payable                                        | 336     |        |      | 325    |    |        |
| 21 | Accounts payable                                     | 2,279   |        |      | 2,048  |    |        |
| 22 | Accrued liabilities                                  | 3,269   |        |      | 3,011  |    |        |
| 23 | Income taxes payable                                 | 150     |        |      | 84     |    |        |
| 24 | Total current liabilities                            | 6,040   |        |      | 5,474  |    |        |
| 25 | Long-term debt                                       | 3,468   |        |      | 3,471  |    |        |
| 26 | Deferred income taxes and other liabilities          | 3,216   |        |      | 1,907  |    |        |
| 27 | Commitments and contingencies (Note 15)              |         |        |      |        |    |        |
| 28 | Redeemable preferred stock                           | -       |        |      | -      |    |        |
| 29 | Shareholders' equity:                                |         |        |      |        |    |        |
| 30 | Common stock at stated value:                        |         |        |      |        |    |        |
| 31 | Class A convertible - 329 and 329 shares outstanding | -       |        |      | -      |    |        |
| 32 | Class B - 1,272 and 1,314 shares outstanding         | 3       |        |      | 3      |    |        |
| 33 | Capital in excess of stated value                    | 6,384   |        |      | 5,710  |    |        |
| 34 | Accumulated other comprehensive loss                 | (92     | )      |      | (213   | )  |        |
| 35 | Retained earnings                                    | 3,517   |        |      | 6,907  |    |        |
| 36 | Total shareholders' equity                           | 9,812   |        |      | 12,407 |    |        |
| 37 | TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY           | $       | 22,536 |      |        | $  | 23,259 |

The accompanying Notes to the Consolidated Financial Statements are an integral part of this statement.

46





Question: What is Nike's Inventory Turnover Ratio for fiscal year 2018
Answer: To calculate Nike's Inventory Turnover Ratio for 2018, we use the formula:
Inventory Turnover Ratio = Cost of Goods Sold (COGS) / Average Inventory

Data from the document:
Cost of Goods Sold (COGS) = $20,441 million
Inventory at the end of 2018 = $5,261 million
Inventory at the end of 2017 = $5,055 million

Step 1: Calculate Average Inventory:
Average Inventory = (Inventory at the end of 2018 + Inventory at the end of 2017) / 2
Average Inventory = (5,261 + 5,055) / 2 = 5,158 million

Step 2: Calculate Inventory Turnover Ratio:
Inventory Turnover Ratio = 20,441 / 5,158 ≈ 3.96

Thus, Nike's Inventory Turnover Ratio for 2018 is approximately 3.96