Evaluation and Inventory turnover ratio: Difference between pages
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An | An example of an ''activity ratio'' or ''management efficiency ratio''. The inventory turnover ratio indicates the number of times stock is completely replaced in a year. | ||
It is calculated as: | |||
[Cost of sales]/Inventory. | |||
==See also== | == See also == | ||
* [[ | * [[Activity ratio]] | ||
* [[ | * [[Efficiency ratio]] | ||
* [[Turnover]] | |||
Revision as of 14:19, 23 October 2012
An example of an activity ratio or management efficiency ratio. The inventory turnover ratio indicates the number of times stock is completely replaced in a year.
It is calculated as:
[Cost of sales]/Inventory.
See also