1. An Inventory Turnover that is twice the industry average
probably indicates some risk of running out of stock.
probably indicates excessive inventory.
would tend to reduce profitability.
is typical for most for-profit corporations
2. Cumulative preffered stock
a) has a higher required return than common stock
b) has a claim to dividends before bonds
c) has a right to vote cumlatively
d) requires dividends in arrears to be carried over into the next period