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Allison Robards Is the Owner of Backstreet Books, a Small

Question 247

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Allison Robards is the owner of Backstreet Books, a small eclectic style bookstore in a bustling college town. Allison prides herself in selecting hard to find books and magazines that her clientele enjoy. Recently, Allison is experiencing a cash flow shortage, and she is concerned that she may be purchasing too many copies of each title. Having recently completed a business class, you suggest to Allison that she calculate the ratio for her store, and then compare it to other stores in her industry.


A) current
B) debt to equity
C) Return on equity
D) Inventory turnover

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