A firm has inventory turnover of 3 and cost of goods sold is Rs. 2,70,000. With better inventory management, the inventory turnover is increased to 5. This would result in – Ascendance Academy

Q.

1

A

Increase in inventory by Rs. 54,000
B

Decrease in inventory by Rs. 36,000
C

Increase in cost of goods sold by Rs. 20,000
D

Decrease in inventory by Rs. 90,000