# valuate the following statement: The two dimensions of risk are: (1) probability of it happening…

valuate the following statement:

The two dimensions of risk are: (1) probability of it happening and (2) severity of harm if it happens.

1. True
2. False

You are a member of a small, three-person Seattle startup that develops, manufactures, and sells healthy dog food. You wear many hats, including Chief Financial Officer (CFO) and Chief Supply Chain Officer (CSCO). The CEO wants you to calculate the 2020 Inventory Turnover Ratio, so she can compare it to the industry benchmark average. Here are the numbers (all in thousands)

2020:

Net Sales 1,000

COGS 400

Inventory 200

2019:

Net Sales 900

COGS 300

Inventory 100

Given the above numbers, what is the 2020 Inventory Turnover Ratio?

1. 2.0x
2. 2.0%
3. 2.67x
4. 2.67%
5. 5.0x
6. 5.0%
7. 6.67x
8. 6.67%

Say, you work at Microsoft on a team that does financial analysis for the Global Supply Chain Management division. You have been asked to do some financial ratios regarding inventory management.

In Fiscal Year 2020, ending June 30, 2020, Microsoft’s Cost of Revenue was over \$46 Billion (billion, not million!).

“Cost of Revenue” and/or “Cost of Sales” is the same as “COGS” in financial analysis and for financial ratios.

1. True
2. False

In The Gap’s global supply chain, the Logistics manager works in

1. Sourcing
2. Transportation
3. Manufacturing Operations
4. Market Channels

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