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Ratios: Inventory Turnover
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Ratios: Inventory Turnover
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14. Financial Statement Analysis / Ratios: Inventory Turnover / Problem 3
Problem 3
If a company has a high inventory turnover ratio, what might this suggest about its inventory management?
A
The company is experiencing stockouts frequently.
B
The company has excess inventory or slow-moving products.
C
The company has a high demand for its products.
D
The company is efficiently managing its inventory.
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