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Inventory turnover ratio tells that how many time is inventory is converted into finished goods during one fiscal year.

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11y ago

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What is the inventory turnover ratio?

Inventory Turnover Ratio = Cost of Goods Sold / Average Inventory and Average Inventory = ( Beginning Inventory + Ending Inventory ) / 2


How do you calculate the transformer turns ratio?

For an ideal transformer, the voltage ratio is the same as its turns ratio.


What is the standard ratio for inventory turnover ratio?

five


What will this do to its current ratio If a company has a current ratio of 2 to 1 and purchases inventory on credit?

Because inventory adds nothing to the numerator of the ratio and the increased liability adds to the denominator, a purchase of inventory on credit will decrease the quick ratio.


What are the reasons for conducting transformer turns ratio?

The reason for conducting transormer turns ratio is to determine if the transformer is a step-up or step-down.AnswerTo determine the turns ratio if the turns ratio is unknown.


How do you calculate turns ratio for current transformer?

The turns ratio is the number of primary turns divided by the number of secondary turns. This is the same ratio as input current to output current. ie the turns ratio N = I1/I2


The cost of good sold by afirms was 20000 it maks a gross profit of 20 percent on saleif inventory at the beginning of the year was 4500 and the ending was 5500 what is inventory turnover ratio?

inventory turnover ratio==cogs/average inventory average inventory=opening inventory + closing inventory/2 average inventory =4500+5500/2 =5000 inventory turnover ratio = 20000/5000 = 4


What is inventory to asset ratio?

amount of your assets that are ties up in inventory, Inventory/Assets x 100


What determines the transformer ratio?

Transformer ratio, more correctly turns ratio, is the number of turns in the primary winding divided by the number of turns in the secondary winding.


What is stock in trade ratio?

The stock in trade ratio, also known as the inventory turnover ratio, measures how efficiently a company manages its inventory by comparing the cost of goods sold (COGS) to the average inventory over a specific period. A higher ratio indicates that a company is selling its inventory quickly, suggesting effective inventory management and strong sales performance. Conversely, a low ratio may indicate overstocking or weak sales. This metric helps businesses assess their inventory levels and make informed decisions about purchasing and production.


What does the acid test ratio not include cash or accounts receivable or supplies or inventory?

inventory


The inventory turnover ratio is calculated by dividing cost of goods sold by?

ending inventory