A higher days sales in inventory is preferable True FalseSol

A higher days\' sales in inventory is preferable.

True False

Solution

Answer:

False.

Days\' Sales in Inventory represents the number of days taken by an organization to convert its Inventory into Sales.
A higher Days\' Sales in Inventory indicates that the organization took longer time to convert inventory into Sales and lesser sales revenue are generated.

A lower Days\' Sales in Inventory is preferrable, as it indicares lesser time is taken to convert inventory into Sales.