Theinventoryturnoverratio:
A. isdeterminedbydividingcostofgoodssoldbynetsales.
B. showshowmanytimesthecompanysolditsaveragelevelofinventory.
C. shouldbehighforacompanythatsellshigh-pricedinventoryitems.
D. willbelowerforcompaniesthathavemanylow-priceditemsintheirinventory.
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Thegrossprofitrateiscalculatedas:
A. costofgoodssolddividedbynetsalesrevenue.
B. netsalesrevenueminusgrossprofitonsales.
C. netsalesrevenueminuscostofgoodssold.
D. grossprofitdividedbynetsalesrevenue.
Maybell Inc., has the following items for the month of July:Inventory turnover is:
A. 4.26.
B. 4.60.
C. 7.02.
D. 3.96.
Maybell Inc., has the following items for the month of July:The gross profit percentage is:
A. 34.9%.
B. 53.6%.
C. 65.0%.
D. 25.0%.
Thecost-of-goodssoldmodelis:
A. beginninginventory,pluspurchases,plusendinginventoryequalscostofgoodssold.
B. beginninginventory,lesspurchases,lessendinginventoryequalscostofgoodssold.
C. beginninginventory,pluspurchases,lessendinginventoryequalscostofgoodssold.
D. beginninginventory,lesspurchases,plusendinginventoryequalscostofgoodssold
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