Questions 13,14

A firm has revenues of $8,000,000 and COCS = 50% of revenues. Receivables = $800,000, Inventory = $500,000, and Payables = $300,000. What is day's inventory held? a. 45.6 days b. 36.5 days c. 54.7 days d. 27.4 days Is an inventory management technique that involves dividing inventory levels by purchases to determine trends in inventory accumulation. a. Just-in-time b. Balance fraction c. Inventory turnover d. Material requirements planning Assume that all other factors are held constant, an increase in days inventory held would the cash conversion cycle and reflect firm liquidity