a. Why is a high inventory turnover considered to be a positive indicator?b. Is it possible to have a high inventory turnover and a high number of days’ sales in inventory? Why?

Managerial Accounting
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Author:Carl Warren, Ph.d. Cma William B. Tayler
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Chapter16: Financial Statement Analysis
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a. Why is a high inventory turnover considered to be a positive indicator?
b. Is it possible to have a high inventory turnover and a high number of days’ sales in inventory? Why?

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