Question: 8 An analyst observes a decrease in a companys inventory turnover. Which of the following would most likely explain this trend? A The company installed
8 An analyst observes a decrease in a company’s inventory turnover. Which of the following would most likely explain this trend?
A The company installed a new inventory management system, allowing more efficient inventory management.
B Due to problems with obsolescent inventory last year, the company wrote off a large amount of its inventory at the beginning of the period.
C The company installed a new inventory management system but experienced some operational difficulties resulting in duplicate orders being placed with suppliers.
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