Which of the Following Represents the Correct Formula for Calculating

question 167

Multiple Choice

Which of the following represents the correct formula for calculating days' sales in raw materials inventory for a manufacturer?

• A) Raw materials purchased/Average raw materials inventory.
• B) Average raw materials inventory/Raw materials used.
• C) Raw materials used/Average raw materials inventory.
• D) Ending raw materials inventory/Raw materials used × 365.
• E) Raw materials used/Beginning raw materials inventory × 365.

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Definitions:

Modifiers

In linguistics, words or phrases that provide additional information about nouns, verbs, or adjectives, affecting their meanings or relations.

Appendix

A small, tube-shaped pouch attached to the lower end of the large intestine, whose exact function is unclear but is thought to play a role in gut immunity.

Patient History

The collected information about a patient's health background, including past diseases, surgeries, and family health issues, vital for treatment plans.

Established Patient

A patient who has seen the physician within the past 3 years. This determination is important when using E/M codes.