Zarruk Construction's DSO Is 50 Days (On a 365-Day Basis),accounts

question 74

Multiple Choice

Zarruk Construction's DSO is 50 days (on a 365-day basis) ,accounts receivable are $100 million,and its balance sheet shows inventory of $170 million.What is the inventory turnover ratio?

• A) 4.98
• B) 3.86
• C) 4.29
• D) 5.20
• E) 3.22

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Definitions:

Complementary Inputs

Inputs that are used together in production, such that the decrease in the price of one input increases the demand for the other input.

Consumer Goods

Products and services that satisfy human wants directly.

Minimum Wage Laws

Statutes that establish the lowest hourly wage employers can legally pay workers, aimed at protecting employee welfare.

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Individuals who enter or reside in a country without the necessary authorization or legal permission.