QUESTION 25 All else being equal, if inventories increase but profits remain the
ID: 381661 • Letter: Q
Question
QUESTION 25
All else being equal, if inventories increase but profits remain the same, your ROA will _____
Stay the same
Increase
Not enough information to make a determination
Decrease
3 points
QUESTION 26
The lead time gap is why we need _____
Streamlined production, procurement and, delivery
Safety Stock
Better Lead Times
Forecasting
3 points
QUESTION 27
If your store is open 365 days per year and you sold $84 worth of inventory that had an average of $14 on-hand, how many days of supply do you have?
61
17%
18
2
3 points
QUESTION 28
The component of Customer Service that pertains to things such as Item Fill Rate, Percent of time in stock, Percent of items in stock, etc. is
Pre-Transaction
Transaction
Post-Transaction
None of the above
Stay the same
Increase
Not enough information to make a determination
Decrease
Explanation / Answer
25. Return on assets (ROA) is an indicator of how profitable a company is relative to its total assets. ROA gives a manager, investor, or analyst an idea as to how efficient a company's management is at using its assets to generate earnings. Return on assets is displayed as a percentage and its calculated as:
ROA = Net Income / Total Assets
Thus answer would be “Not Enough Information to make a decision”
ANSWER : NOT ENOUGH INFORMATION TO MAKE A DECISION
26) Lead time gap is the time between when an order is placed and the time when gods are delivered against the order. In order to ensure that there is no stock out during this interim period , company would ensure maintaining safety stock to ward off any stockout situation
LEAD TIME GAP IS WHY WE NEED SAFETY STOCK
27) Number of days of supply in hand
= Value of inventory in hand/ Value of inventory sold x 365
= 14/84 x 365
= 60.83 days ( 61 days )
NUMBER OF DAYS SUPPLY IN HAND = 61 DAYS
28) Items pertaining to fill rate , percentage of time in stock , percent of time etc are part of inventory management . Therefore, answer would be “None of the above”
ANSWER : NONE OF THE ABOVE
ANSWER : NOT ENOUGH INFORMATION TO MAKE A DECISION
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.