The Following Information Was Available for Hoover Company at December

question 12

Multiple Choice

The following information was available for Hoover Company at December 31, 2011: beginning inventory $110,000; ending inventory $70,000; cost of goods sold $660,000; and sales $900,000.Hoover's inventory turnover ratio in 2011 was

• A)10.0 times.
• B)7.3 times.
• C)9.4 times.
• D)6.0 times.

---

Definitions:

Costly Activities

Actions or endeavors that require significant expenditures of resources, such as money, time, or effort.

Supply Chain

A system of organizations, people, activities, information, and resources involved in moving a product or service from supplier to customer.

Double Marginalization

A situation in a supply chain where both the manufacturer and the retailer mark up prices, leading to higher costs for consumers.

Directly To The Consumer

A business model where companies sell their products or services directly to consumers, bypassing any intermediaries or retailers.