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