Dividing Ending Inventory by Cost of Goods Sold and Multiplying

question 111

Multiple Choice

Dividing ending inventory by cost of goods sold and multiplying the result by 365 is the:

• A) Inventory turnover ratio.
• B) Profit margin.
• C) Days' sales in inventory.
• D) Current ratio.
• E) Total asset turnover.

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Definitions:

Thermal Cycling

A pattern of heating and cooling that, over time, can cause resistance to build up in electrical connections.

Amps

A unit of electric current, short for amperes, indicating the amount of electrical charge passing a point per second.

Voltmeter

An electrical measuring instrument used to measure the electrical potential difference between two points in an electric circuit.

Circuit

A closed path through which electric current flows, typically involving power sources, loads, and conductive materials.