Which of the following is measured by dividing the average daily cost of goods sold into the average inventories?
A)sale-to-cash conversion period
B)inventory-to-sale conversion period
C)purchase-to-payment conversion period
D)cash conversion cycle

Question

Quizplus · Accepted Answer

Dividing the average daily cost of goods sold into the average inventories gives the inventory-to-sale conversion period, which measures the number of days it takes for a company to convert its inventory into sales.

Which of the Following Is Measured by Dividing the Average