[Each transaction takes place at the end of the business day.] How many days are in the inventory period?

Question

[Each transaction takes place at the end of the business day.]  How many days are in the inventory period?

Quizplus · Accepted Answer

The inventory period can be calculated by adding the number of days between the first transaction and the last transaction. Since each transaction takes place at the end of the business day, the inventory period is equal to the number of business days between the first and last transaction. From April 1st to June 1st, there are 44 business days. From July 2nd to August 31st, there are 44 business days. Therefore, the total number of business days between the first and last transaction is 88. Adding the 30-day extension period, the total inventory period is 88 + 30 = 118 days. However, since the question asks for the number of days "in the inventory period," we need to subtract the 30-day extension period, which gives us a total of 88 days. Therefore, the answer is C) 61 days.

[Each Transaction Takes Place at the End of the Business