An analysis of inventory turnover in a store's clothing department indicated extremely low turnover. Which of the following would most likely increase the turnover rate?

• A.Increase inventories.
• B.Increase sales incentives.
  C Increase selling prices.
  D Decrease the frequency of purchases but maintain the same level of inventory.

Correct Answer: B

Inventory turnover equals cost of sales divided by average inventory. Reducing inventory therefore increases turnover. Sales incentives to improve sales should lower inventory levels. Presented below are partial year-end financial statement data for entities A and B.

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In PERT, slack is the:

• A.Uncertainty associated with time estimates.
• B.Difference between the latest starting time and earliest finishing time.
• C.Path that has the largest amount of time associated with it.
• D.Number of days an activity can be delayed without forcing a delay for the entire project.

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Which of the following refers to taxes that do not necessarily take a larger absolute share of an increase in income?

• A.Progressive.
• B.Proportional
• C.Regressive.
• D.Flat.

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The chart displays the:

• A.Arithmetic mean of each computer complaint.
• B.Relative frequency of each computer complaint.
• C.Median of each computer complaint.
• D.Absolute frequency of each computer complaint.

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Company R produces and sells two products. Product A costs US$10 per unit and Product B costs US $5 per unit. Product A is selling very well, but sales of Product B are low. In order to increase sales of Product B, Company R has begun setting a price of US $13 for one of each. What is the pricing method?

• A.Product-bundle pricing.
• B.By-product pricing.
• C.Value pricing.
• D.Collusive pricing.

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