Based on the Following Data for the Current Year, What

question 139

Multiple Choice

Based on the following data for the current year, what is the number of days' sales in inventory? $\begin{array}{ll}\$ 1,204,500 & \text { Net sales on account during year } \\657,000 & \text { Cost of merchandise sold churing year } \\75,000 & \text { Accounts receivable, begining of year } \\85,000 & \text { Accounts receivable, end of year } \\81,600 & \text { Inventory, beginning of year } \\98,600 & \text { Inventory, end of year }\end{array}$

• A) 50.1
• B) 45.3
• C) 24.7
• D) 29.9

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Definitions:

Plastic

A synthetic material made from a wide range of organic polymers that can be molded into shape while soft, and then set into a rigid or slightly elastic form.

Wood

The hard, fibrous structural tissue found in the stems and roots of trees and other woody plants.

Cost Function

A mathematical relationship that describes how the costs incurred by a firm vary with the level of output or activity.

Output

Refers to the quantity of products or services produced by a business, industry, or economy.