Which of the following statements about inventory measures is not correct?
A)If the inventory turnover ratio increases,the days to sell measure decreases.
B)The days to sell measure can help managers make ordering decisions for inventory.
C)A higher inventory turnover ratio indicates that inventory is moving more quickly from purchase to sale.
D)It is rare for a company with a lower gross profit percentage to have a faster inventory turnover.

Question

Quizplus · Accepted Answer

Companies that lower selling prices and have a lower gross profit percentage often have a faster inventory turnover.

Which of the Following Statements About Inventory Measures Is Not