What Is the Inventory Period for a Firm with an Annual

question 84

Multiple Choice

What is the inventory period for a firm with an annual cost of goods sold of $8 million, $1.5 million in average inventory, and a cash conversion cycle of 75 days?

• A)6.56 days
• B)18.75 days
• C)53.33 days
• D)68.44 days inventory period =

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Definitions:

Muscular Strength

The maximum amount of force that a muscle or group of muscles can exert against some form of resistance in a single effort.

Early Adulthood

A life stage typically occurring from late teens through twenties, characterized by exploration, establishment of personal and professional relationships, and self-identity formation.

Independently

Acting or occurring without reliance on others; autonomously.

Full-Time Job

Employment in which an individual works a minimum number of hours defined as full-time by their employer, typically around 40 hours per week.