Answered: A firm has $5,000,000 of inventory on…

A firm has $5,000,000 of inventory on average and annual sales of $30,000,000. Assume there are 365 days per year. What is the firm’s inventory conversion period? *

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Question

A firm has $5,000,000 of inventory on average and annual sales of $30,000,000. Assume there are 365 days per year. What is the firm’s inventory conversion period? *

a. 60.83 days

b. 45.00 days

c. 30.25 days

d. 55.25 days

e. 72.44 days

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