Two basic measures of inventory are inventory turnover and average aggregate inventory. What is the third?
A)inventory depreciation
B)inventory amortization
C)weeks of supply
D)multifactor inventory

Question

Two basic measures of inventory are inventory turnover and average aggregate inventory. What is the third?
A)inventory depreciation  
B)inventory amortization  
C)weeks of supply  
D)multifactor inventory

Quizplus · Accepted Answer

The third basic measure of inventory is weeks of supply, which measures the number of weeks' worth of inventory a company has on hand. It is calculated by dividing the average aggregate inventory by the weekly sales.

Two Basic Measures of Inventory Are Inventory Turnover and Average