The _____ ratio may suggest that inventory is moving quickly even though the rate of turnover is slowing.

Question

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The management efficiency ratio, particularly when looking at inventory turnover, can suggest that inventory is moving quickly if it shows a high level of sales relative to inventory. However, this doesn't necessarily mean the rate of turnover is increasing; it could be slowing due to various factors such as increased sales volume with proportionally higher inventory levels.

The _____ Ratio May Suggest That Inventory Is Moving Quickly