The Inventory Turnover Ratio Is Computed by Dividing the Cost

question 71

True/False

The inventory turnover ratio is computed by dividing the cost of goods sold by the ending inventory on hand.

---

Definitions:

Defensive Communication

A response style characterized by guardedness to protect oneself from perceived threats or criticism.

Communication

The process of sending and receiving messages or information between individuals or groups.

Attack

An aggressive action or behavior intended to harm, subdue, or defeat someone or something.

Cultural Assumption

A belief or value that is widely accepted within a culture or society, often unconsciously, and influences behavior and attitudes.