A manufacturer reported an inventory turnover ratio of 86


A manufacturer reported an inventory turnover ratio of 8.6 last year. During the current year, management introduced a new inventory control system that was expected to reduce average inventory levels by 25 percent without affecting sales volume. Given these circumstances, would you expect the inventory turnover ratio to increase or decrease during the current year? Explain.

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Accounting Basics: A manufacturer reported an inventory turnover ratio of 86
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