Buying inventory in large lots to take advantage of quantity discounts can be responsible for a high inventory turnover ratio.

Name: Buying inventory in large lots to take advantage of quantity discounts can be responsible for a high inventory turnover ratio.
Brand: Quizplus
Rating: 4.9 (32 reviews)

Question

Quizplus · Accepted Answer

Buying inventory in large quantities for discounts typically results in a lower inventory turnover ratio because it increases the average inventory on hand, taking longer to sell through.

Buying Inventory in Large Lots to Take Advantage of Quantity