Multiple Choice
The inventory turnover ratio is calculated as:
A) Cost of goods sold divided by ending inventory.
B) Cost of goods sold divided by average merchandise inventory.
C) Ending inventory divided by cost of goods sold.
D) Sales divided by cost of goods sold.
E) Cost of goods sold divided by ending inventory times 365.
Correct Answer:
Verified
Correct Answer:
Verified
Q216: Days' sales in inventory is calculated as:<br>A)
Q217: Under FIFO, the most recent costs are
Q218: FIFO is preferred when purchase costs are
Q219: The conservatism constraint prescribes that:<br>A) All items
Q220: Goods in transit are automatically included in
Q222: Determining the unit costs assigned to inventory
Q223: A company uses the retail inventory
Q224: Eastview Company uses a periodic LIFO
Q225: The inventory valuation method that has the
Q226: Goods in transit are included in a