What is the average inventory of a business that turns over inventory 10.0 times a year and has a cost of goods sold of $300,000?
A) $30,000
B) $300,010
C) $ 3,000,000
D) $ 3,000

Question

​What is the average inventory of a business that turns over inventory 10.0 times a year and has a cost of goods sold of $300,000?
A) ​$30,000
B) ​$300,010
C) ​$ 3,000,000
D) ​$ 3,000

Quizplus · Accepted Answer

The average inventory can be calculated using the formula: Average Inventory = Cost of Goods Sold / Inventory Turnover. Therefore, $300,000 / 10 = $30,000.

​What Is the Average Inventory of a Business That Turns

What Is the Average Inventory of a Business That Turns