The Two Ratios That Help a Company Measure How Effectively

question 100

Multiple Choice

The two ratios that help a company measure how effectively it is managing its inventory are

• A) Inventory turnover and number of days' sales in inventory
• B) Inventory turnover and number of days' purchases in accounts payable
• C) Number of days' sales in inventory and number of days' purchases in accounts payable
• D) Accounts receivable turnover and number of days' sales in inventory

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Definitions:

Ocean

The ocean is a vast body of saltwater that covers more than 70% of the Earth's surface, important for climate regulation, transportation, and providing a habitat for countless species.

Biogeochemical Cycles

These are natural pathways by which essential elements of living matter are circulated through the biotic (living) and abiotic (non-living) components of the Earth.

Nonbiological Reservoirs

Environments or materials that can harbor or transmit disease-causing organisms without having biological functions themselves.

Aquifers

Underground layers of water-bearing rock or materials that can yield water for use.