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Will the inventory turnover ratio increase or decrease

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Reference no: EM131752996

Question - A manufacturer reported an inventory turnover ratio of 8.6 during 2007. During 2008, management introduced a new inventory control system that was expected to reduce average inventory levels by 25 percent without affecting sales volume.

Will the inventory turnover ratio increase or decrease during 2008?

increase

or

decrease

Reference no: EM131752996

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