Last Year,Able Company Had Sales of $10 Million,Cost of Goods

question 15

Multiple Choice

Last year,Able Company had Sales of $10 million,Cost of Goods Sold of $6 million,Gross Profit of $4 million and Net Profit of $1 million.Average inventory at cost was $2 million.Able's inventory turn rate was:

• A)5 times
• B)3 times
• C)2 times
• D)0.5 times