Teaching UGC NET Mock Test Series 2025 (Paper 1 & 2) Accountancy Financial Statement Analysis Ratio analysis
A firm has inventory turnover of 3 and cost of goods sold is Rs. 2,70,000. With better inventory management, the inventory turnover is increased to 5. This would result in
1
Increase in inventory by Rs. 54,000
2
Decrease in inventory by Rs. 36,000
3
Increase in cost of goods sold by Rs. 20,000
4
Decrease in inventory by Rs. 90,000