ABC Co. has an inventory turnover ratio of 3.4x compared to the industry average of 3.0x. Most likely: O ABC Co. has obsolete inventory, or too much inventory, compared to its competitors. ABC Co. is more efficient at managing its inventory than its competitors. O ABC Co. is faster, on average, collecting on its accounts receivables than its competitors. O ABC Co. is slower, on average, collecting on its accounts receivables than its competitors.