Inventory Turnover in the Spaces Provided,indicate the Likely Effect of Each of Each

question 22

Essay

Inventory turnover
In the spaces provided,indicate the likely effect of each of the following events or strategies upon the inventory turnover rate.Use the following code letters: I for Increase,D for Decrease,and NE for No Effect.
______ (a)Switched from the LIFO flow assumption to FIFO during a period of rising prices.
______ (b)Dramatically increased advertising expense.
______ (c)Increased the sales price of merchandise that is so popular it is difficult to keep in stock.
______ (d)Implemented internal control procedures to reduce a serious inventory shrinkage problem.
______ (e)Switched from a restrictive credit policy to offering liberal terms to credit customers.

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Definitions:

Tyrosine

An amino acid that is important for protein synthesis and is a precursor to several significant hormones and neurotransmitters.

Iodine Atoms

Fundamental units of the chemical element iodine, essential for thyroid hormone production in living organisms.

Exocrine Function

The activity of exocrine glands that release their secretions through ducts to the exterior of the body or into a body cavity.

Endocrine Function

The activity of glands that secrete hormones directly into the bloodstream, regulating diverse bodily functions.