Answer:
d. Reduce average Inventory
Explanation:
Inventory turnover ratio represents how quickly an entity's inventory is converted into sales and cash is generated.
Inventory turnover in days is computed as;
= 
Inventory turnover ratio can be computed as:
= 
Average stock = 
wherein, Op stock = Opening stock
Cost of Goods Sold = Sales - Gross Profit
A reduction in the average inventory level would increase the inventory turnover ratio, and thus reduce the inventory conversion period from 80 days to a lower level.
Answer:
$48,000
Explanation:
Given that,
Ending owner's equity = $70,000
Beginning owner's equity = $45,000
Owner's withdrawals = $23,000
There were no new capital contributions during the year.
Net income (loss):
= Ending owner's equity - Beginning owner's equity + Owner's withdrawals
= $ 70,000 - $ 45,000 + $ 23,000
= $48,000
Therefore, the net income for the year is $48,000.
Though I have no experience in business, I would say it is True.
Internal customers have a relationship with, and within, your company, either through employment or as partners who deliver your product or service to the end user, the external customer
Answer:
The new portfolio beta is 1.31 rounded off to two decimal places.
Explanation:
The portfolio beta is a function of the sum of the weighted average betas of the individual stock's that form up the portfolio. The portfolio beta is calculated using the following formula,
Portfolio beta = wA * Beta of A + wB * Beta of B + ... + wN * Beta of N
Where,
- w is the weightage of each stock in the portfolio
The beta of the portfolio when one stock with a beta of 1 is sold is,
The sum of individual stock betas for 19 stocks is = 20 * 1.31 - 1 * 1 = 25.2
The new portfolio beta when one stock with a beta of 0.97 is added is,
Portfolio beta = (25.2 + 0.97) / 20
Portfolio beta = 1.3085 rounded off to 1.31
