Use the Following Information to Answer the Question(s)below

question 19

Multiple Choice

Use the following information to answer the question(s) below:
Rearden Metal (RM) had $120 million in sales in 2019.Its cost of goods sold was $85 million,and its average inventory balance was $15 million.
-The industry average days of inventory is 75 days.The amount that Rearden would have to increase/decrease its inventory in order to match the industry average is closest to:

• A)decrease inventory by $2.2 million.
• B)increase inventory by $2.2 million.
• C)increase inventory by $2.5 million.
• D)increase inventory by $4.2 million.

---

Definitions:

IRM Tools

Information Risk Management (IRM) Tools are software solutions used to identify, prioritize, and manage the risks related to an organization's information and technology assets.

In-box Clutter

Refers to the accumulation of unorganized emails or messages in one's email inbox, often causing overwhelm or missed communications.

RSS Feed

A web feed that allows users and applications to access updates to online content in a standardized, computer-readable format.

Online Portal

A website or web page that provides access to a variety of resources and services, often requiring user registration.