Wangley Company Has an Inventory Turnover of 8

question 6

Multiple Choice

Wangley Company has an inventory turnover of 8.Which statement is true?

• A)Wangley has about 2 months of sales in its inventory.
• B)Wangley takes about 46 days from the time an item is sold until Wangley collects the cash.
• C)Wangley takes about one month from the time an item is purchased until the cash is collected from the sale of the inventory.
• D)Wangley sells it inventory 8 times faster than other companies.

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Definitions:

Discrete Probability Distribution

A discrete probability distribution outlines the probabilities of outcomes for discrete random variables, where outcomes are countable.

Discrete Probability Distribution

A probability distribution characterized by a set of discrete outcomes or values with corresponding probabilities.

Expected Number

The average value or mean of a random variable; it is the long-run average outcome of a random event repeated many times.

False Negative

A false negative occurs when a test incorrectly indicates that a particular condition or attribute is absent.