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Inventory Turnover Ratio

Direct Expesn...

Question

Direct Expesnses are in case of calculation of cost of revenue from operations.

A

added

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B

reduced

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C

multiplied

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D

divided

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Solution

The correct option is A added
Direct Expesnses are added in case of calculation of cost of revenue from operations.
Cost of revenue from operations = Opening inventory + Purchases + Direct expenses - Closing inventory.

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