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According to a business expert, inventory turnover, a measure of capital utilisation, has a direct impact on the earnings yield of a company. The analyst
According to a business expert, inventory turnover, a measure of capital utilisation, has a direct impact on the earnings yield of a company. The analyst randomly selected companies, divided in groups. To test this theory, he tracked their inventory turnover and their earnings as presented in the table.
tableInventory turnover Earnings yields
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