Cash-to cash conversion

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Reference no: EM131791603

1. Cash-to Cash Conversion:

a. Is typically related to inventory turns

b. Is a measure of manufacturing efficiency

c. Is related to freight payment

d. Is the time required to convert raw materials into finished inventory

2. Which of the following statements about the basic EOQ model is true?

If the ordering cost were to increase, the EOQ would decrease.

If annual demand were to double, the EOQ would be half.

If the holding cost were to decrease, the EOQ would decrease.

If ordering cost were to decrease, the EOQ would decrease.

All of the above statements are true.

Reference no: EM131791603

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