Days' Sales in Inventory Estimates the Average Number of Days

question 2

Multiple Choice

Days' sales in inventory estimates the average number of days it takes to:

• A) convert inventory to sales.
• B) convert raw materials to finished inventory.
• C) collect cash from inventory sold.
• D) pay suppliers for inventory purchased.

---

Definitions:

Groupthink

A psychological phenomenon occurring within a group of people, in which the desire for harmony and conformity results in an irrational or dysfunctional decision-making outcome.

Group Polarization

Group polarization occurs when the attitude of a group becomes more extreme than the initial inclination of its members after group discussions.

Group Polarization

The effect where the dominant opinions or convictions of a group intensify or become more radical after discussions among its members.

Deindividuation

A psychological state where an individual loses self-awareness and a sense of individuality, often in group contexts, leading to uninhibited behavior.