Question
Days' sales in inventory: A. focuses on average inventory rather than ending inventory. B. shows the buffer against out-of-stock inventory. C. Is a substitute for
Days' sales in inventory:
A. focuses on average inventory rather than ending inventory.
B. shows the buffer against out-of-stock inventory.
C. Is a substitute for the acid test ratio.
D. Is calculated by dividing cost of goods sold by ending inventory.
E. Is used to measure solvency.
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Accounting An Introduction
Authors: Atrill Peter, Eddie McLaney
6th Edition
0273771833, 978-0273771838
