question archive A company has l90
Subject:BusinessPrice: Bought3
A company has l90.000 units on hand with an average inventory of $5,000,000. Annual inventory usage is T20.000. The annual cost of goods sold is $30,000,000. The company works 255 days per year. a. Explain what inventon turns are and how they are calculated as well as how this metric can help a company improve operations. {4 pts} b. What is the inventory turns ratio? {2 pts} c. What would be the reduction in average inventory if. through better materials management, inventory turns were increased to 10 turns per year? {3 pts} d. What are the days of supply? {2 pts} e. What does the DOS metric tell you and how can it help a company improve? Be speci?c. {4 pts]