A firm selling food should have a higher inventory turnover rate than a firm selling office furniture.

Question

Quizplus · Accepted Answer

A firm selling food is likely to have a higher inventory turnover rate than a firm selling office furniture due to the perishable nature of food and the need to constantly replenish inventory to maintain freshness. On the other hand, office furniture has a longer lifespan and may not need to be replenished as frequently.

A Firm Selling Food Should Have a Higher Inventory Turnover