In Comparison to Industry Averages,Okra Corp

question 19

Multiple Choice

In comparison to industry averages,Okra Corp.has a low inventory turnover,a high current ratio,and an average quick ratio.Which of the following would be the most reasonable inference about Okra Corp.?

• A) Its current liabilities are too low.
• B) Its cost of goods sold is too low.
• C) Its cash and securities balance is too low.
• D) Its inventory level is too high.