How Many Days on Average Does It Take Precision Tool

question 4

Multiple Choice

How many days on average does it take Precision Tool to sell its inventory? (Use 2012 values)

• A)164.30 days
• B)187.77 days
• C)219.63 days
• D)247.46 days
• E)283.31 days

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Definitions:

Capital Stock

The total value of all durable goods available for use in production, including machinery, buildings, and equipment.

Increase

A situation where there is a rise in quantity, size, number, value, or intensity of a particular economic variable or element.

Sub-Prime Loan

A type of loan that is offered at a rate above prime to individuals who do not qualify for prime rate loans, usually because of poor credit histories.

Prime Rate

Rate of interest that banks charge their most creditworthy customers.