The First Step to Incorporating a Company Is To

question 80

Multiple Choice

The first step to incorporating a company is to:

• A)select the company's name
• B)write the articles of incorporation
• C)buy necessary licenses and pay required taxes
• D)hold an organizational meeting
• E)create a board of directors

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Definitions:

Days' Sales In Inventory

An indicator that reflects the average number of days a company requires to convert its inventory into sales.

Inventory Ratio

A financial metric that indicates how many times a company's inventory is sold and then replaced over a specific period.

Inventory Turnover

A ratio showing how many times a company's inventory is sold and replaced over a specific period, indicating efficiency in managing stock.

Days' Sales In Inventory

A measure of how efficiently a company turns its inventory into sales, calculated as inventory divided by daily sales.