Which of the Following Statements Is Correct Concerning the Days

Multiple Choice

Which of the following statements is correct concerning the Days' sales in raw materials inventory?

A) A measure of how long it takes raw materials to be used in production.
B) The ratio is not useful for a manufacturer.
C) Reveals how many times a company turns over its raw materials inventory in a period.
D) Most companies generally prefer a higher number of days' sales in raw materials inventory.
E) Is calculated by taking the Raw materials used/Average raw materials inventory.