On average, a firm sells R2,500,000 in merchandise a month.Its cost of goods sold equals 80 percent of sales, and it keeps inventory equal to one-half of its monthly cost of goods on hand at all times.If the firm analyses its accounts using a 360-day year, what is the firm's inventory conversion period?

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The Answer of On average, a firm sells R2,500,000 in merchandise a month.Its cost of goods sold equals 80 percent of sales, and it keeps inventory equal to one-half of its monthly cost of goods on hand at all times.If the firm analyses its accounts using a 360-day year, what is the firm's inventory conversion period?

On Average, a Firm Sells R2,500,000 in Merchandise a Month