A Company Has $72,500 in Inventory at the Beginning of the Accounting

question 40

Multiple Choice

A company has $72,500 in inventory at the beginning of the accounting period and $65,500 at the end of the accounting period.Sales revenue is $986,400,cost of goods sold is $572,700,and net income is $124,200 for the accounting period.On average,this company has inventory on hand for approximately:

• A)203 days.
• B)44 days.
• C)61 days.
• D)26 days.

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Definitions:

Proportion Difference

A measure of the difference in proportions or percentages between two groups in comparative studies.

Pooled Proportion

The weighted average of proportions from different samples or groups, used in statistical analysis.

Null Hypothesis

A default hypothesis that there is no significant difference or effect, often tested against an alternative hypothesis in statistical analyses.

Confidence Interval

A range of values, derived from sample statistics, that is likely to contain the value of an unknown population parameter, based on a specified confidence level.