A Company That Specializes in Planning Parties for Children Had

Multiple Choice

A company that specializes in planning parties for children had $7,000 worth of inventory on January 1,2007,and it had $5,000 worth of inventory on December 31,2007.If its cost of goods sold for that period was $10,000,and its net profit was $9,000,which of the following represents its inventory turnover ratio?

A) 3 times
B) 1.5 times
C) 1.67 times
D) 1 times