Refer to the Following Selected Financial Information from Graceworks,Corp A)2034
B)228

question 125

Multiple Choice

Refer to the following selected financial information from Graceworks,Corp.Compute the company's days' sales in inventory for Year 2.(Use 365 days a year.) $$\begin{array} { l l } &\text { Year 2 } & \text { Year } 1 \\Merchardise~ irventory&271,000 & 253,500 \\Cost ~of~ goods~ sold&486,400 & 433,100\end{array}$$

• A)203.4.
• B)228.4.
• C)179.5.
• D)215.1.
• E)113.3.

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Definitions:

Process Capability Analysis

A statistical technique to determine if a process has the capability to produce products that meet specifications.

Control Charts

Statistical tools used for monitoring and controlling a process by tracking its performance over time.

Special Causes

In the context of quality control, special causes refer to sources of variation that are not inherent to the process but arise due to external factors or irregular occurrences.

Process Capability

Process capability refers to the ability of a process to produce output within specified limits.