Thyme,Inc'S Inventory Turnover Ratio Has Been Approximately 6 Times Per

question 147

Multiple Choice

Thyme,Inc.'s inventory turnover ratio has been approximately 6 times per year over the past few years.This year Thyme decided to reduce the amount of inventory it keeps on hand.What effect will this new policy have on its inventory turnover ratio for the current year?

• A)The ratio will increase.
• B)The ratio will decrease.
• C)The inventory turnover ratio will stay the same.
• D)This is a trick question.The amount of inventory on hand has nothing to do with a company's inventory turnover ratio.

---

Definitions:

Ethnic Heritage

The traditions, customs, and history shared by a group of people who identify with a specific ethnic background.

Majority Culture

The dominant cultural practices, values, and norms within a society, exerting a strong influence on behavior and attitudes of its members.

Bicultural Identity Formation

The process by which individuals integrate and negotiate two distinct cultural identities.

African-American Adolescent

Any young individual, generally aged between 13 and 19, who identifies as part of the African-American or Black community in the United States.