Financial Metrics in Supply Chain Management Quiz Test your knowledge on financial metrics used in supply chain management with questions on inventory turnover, cash conversion cycle, ROI, DPO, and more.
#1
What does the Inventory Turnover Ratio indicate in supply chain management?The rate at which a company sells and replaces inventory
The total value of inventory held by the company
The number of days inventory is held before being sold
The percentage of inventory items returned by customers
#2
What does the term 'Working Capital' refer to in financial management?The difference between current assets and current liabilities
The total assets of a company
The total liabilities of a company
The net income generated by a company
#3
What does the Debt-to-Equity Ratio indicate about a company's financial structure?The percentage of profit reinvested into the business
The proportion of debt and equity financing used by the company
The efficiency of asset utilization in generating revenue
The rate at which the company's stock is traded on the market
#4
Which of the following financial metrics measures how efficiently a company uses its assets to generate revenue?Return on Investment (ROI)
Inventory Turnover Ratio
Days Sales Outstanding (DSO)
Asset Turnover Ratio
#5
In financial analysis, what does the term 'Days Payables Outstanding (DPO)' represent?The average time it takes for a company to pay its suppliers
The number of days it takes for a company to collect payment from customers
The number of days it takes for a company to convert inventory into sales
The average time it takes for a company to process payroll
#6
What is the formula for calculating Return on Investment (ROI)?(Net Profit / Total Revenue) * 100
(Net Profit / Total Assets) * 100
(Net Profit / Total Equity) * 100
(Net Profit / Total Liabilities) * 100
#7
Which financial metric measures the ability of a company to generate profit from its shareholders' equity?Return on Investment (ROI)
Return on Equity (ROE)
Gross Profit Margin
Net Present Value (NPV)
#8
Which financial metric assesses the liquidity of a company by comparing its current assets to its current liabilities?Debt-to-Equity Ratio
Quick Ratio
Return on Assets (ROA)
Earnings Per Share (EPS)
#9
Which of the following is NOT a component of the Cash Conversion Cycle (CCC) in supply chain management?Days Sales Outstanding (DSO)
Days Inventory Outstanding (DIO)
Days Payables Outstanding (DPO)
Return on Investment (ROI)
Sign In to view more questions.
Quiz Questions with Answers Forget wasting time on incorrect answers. We deliver the straight-up correct options, along with clear explanations that solidify your understanding.
Popular Quizzes in Financial Management Popular Quizzes in Finance ReportType Subject mismatch Topic mismatch Unrelated quiz title Unrelated question Mistake in question statement Incorrect answer Other
Submit Cancel