Provide the greatest return on their investment

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Your client has $1,000,000 and wants to buy product for resale. Which alternative will provide the greatest return on their investment and why. (1) A group of convenience stores, the average turnover of the bread and milk is 1.7 days, but the margin on the retail price will be only 2% that $0.02 dollar of sale. (2) A CATERPILLAR tractor sales outlet with an average inventory turn is 0.65 times per year, and can provide much greater margins, they are about 35% that $0.35 per sales dollar.

Reference no: EM132293280

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