Managing inventory effectively requires a business owner to monitor the company's inventory turnover ratio and to compare it with that of other firms of larger size in a different industry.

Question

Quizplus · Accepted Answer

Comparing inventory turnover ratios with firms of larger size in a different industry is not effective, as different industries have varying inventory practices and benchmarks. It's more relevant to compare with similar-sized companies within the same industry.

Managing Inventory Effectively Requires a Business Owner to Monitor the Company's