Indicate Whether Each of the Following Statements About Financial Statement

Short Answer

Indicate whether each of the following statements about financial statement analysis is true or false.
_____ a)Having too little inventory can hurt a company's profitability because of lost sales.
_____ b)Having too much inventory can hurt a company's profitability because of excess costs.
_____ c)Generally,a lower inventory turnover indicates that merchandise is being handled more efficiently.
_____ d)Average days to sell inventory is the number of times,on average,that inventory is replaced during the year.
_____ e)Values for the inventory turnover ratio vary widely among different industries.