An increase in inventory turnover means days in inventory
A)increases.
B)decreases.
C)remains the same.
D)cannot be determined.

Name: An increase in inventory turnover means days in inventory A)increases. B)decreases. C)remains the same. D)cannot be determined.
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Question

Quizplus · Accepted Answer

An increase in inventory turnover indicates that a company is selling its inventory more quickly. Consequently, the number of days the inventory remains unsold (days in inventory) decreases.

An Increase in Inventory Turnover Means Days in Inventory