Which of the following statements about inventory turnover is most appropriate?
A) The most profitable turnover ratio may not necessarily be the highest.
B) Companies generally strive to have the lowest possible inventory turnover ratio.
C) A high ratio indicates the company is having trouble selling its inventory.
D) A low ratio generally means the company is not keeping enough inventory on hand.
Correct Answer:
Verified
Q52: Inventory turnover is calculated as:
A)cost of goods
Q53: Given the following data: Q54: Which of the following is NOT included Q55: Expressing current operating income as a percentage Q56: The following data represent selected information from Q58: On a statement of cash flows of Q59: An "efficient capital market" is one where: Q60: Compute the current ratio using the following Q61: Beginning inventory was $28,000 and ending inventory Q62: Mickey Corporation has total current assets equal
A)stock
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