The Grocery Chain (GC)reported an Average Inventory of $349,589 in Its

question 4

Multiple Choice

The Grocery Chain (GC) reported an average inventory of $349,589 in its last annual report.If GC's annual Cost of Goods Sold was $5,800,000,approximately how many days did GC hold its inventory?

• A) 30 days
• B) 15 days
• C) 97 days
• D) 22 days

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Definitions:

Total Assets

The sum of all assets owned by a company, including current, fixed, intangible, and financial assets.

Sales-Type Lease

A leasing arrangement where the lessor recognizes sales revenue at the lease inception, reflecting the sale of an asset.

Operating Lease

A lease agreement allowing for the use of an asset without ownership, typically with shorter terms and cancelable by the lessee under specific conditions.

Property, Plant, and Equipment

Long-term tangible assets that are used in the operations of a business and are not expected to be consumed or converted into cash within a year.