Asset management ratios are used to measure how effectively a firm manages its assets, by relating the amount a firm has invested in a particular

type of asset $($or group of assets$)$ to the amount of revenues the asset is generating. Examples of asset management ratios include the average

collection period $($also called the days sales outstanding ratio$),$ the inventory turnover ratio, the fixed asset turnover ratio, and the total asset turnover

ratio.

Consider the following case:

Crawford Construction has a quick ratio of $2\mathrm{.}00x,$$$32,175$ in cash, $$17,875$ in accounts receivable, some inventory, total current assets

of $$71,500,$ and total current liabilities of $$25,025.$ The company reported annual sales of $$300,000$ in the most recent annual report.

Additionally, the company's cost of goods sold is $75\%$ of sales.

Over the past year, how often did Crawford Construction sell and replace its inventory?

The inventory turnover ratio across companies in the construction industry is $8\mathrm{.}9165x.$ Based on this information, which of the following statements is

true for Crawford Construction?

Crawford Construction is holding more inventory per dollar of sales compared with the industry average.

Crawford Construction is holding less inventory per dollar of sales compared with the industry average.